Hunt Real Estate Capital announced today that it has provided a first mortgage bridge loan in the amount of $9.3 million to finance the acquisition and renovation of a multifamily property located in Holly Hill, Florida.
Blue Tide Apartments is a 108-unit, garden-style multifamily community located on the Halifax Riber at 301 Riverside Drive, just northwest of Daytona Beach. The property is situated on a 7.3-acre site and is comprised of five residential buildings and one stand-alone leasing office that were all constructed in 1972. Blue Tide Apartments is currently 90% occupied with an average occupancy of 93% since 2008.
The loan term is two years, and includes two six-month extension options.
“Blue Tide is a fantastic value-add, bridge-to-permanent opportunity for both Hunt Real Estate Capital and the borrower,” noted Trey Palmedo, Vice President at Hunt Real Estate Capital. “Hunt’s veteran debt strategies team combined with the experience of the sponsor enabled us to execute seamlessly on this transaction. We are looking forward to continuing to work together both on this and many more projects.”
Post-acquisition, the borrower will invest more than $1.7 million in capital improvements to renovate all 108 units and implement a variety of renovations, including roof repairs, asphalt repairs, landscaping upgrades, and the addition of an exterior gate, lighting, and security. In addition, the borrower will also replace windows, awnings, exterior doors, and upgrade community amenities, including the pool and clubhouse. Plans also include adding an outdoor kitchen, pergola, fire pit, and cornhole courts.
Current amenities include a barbecue area, pool, common laundry, and fishing dock. The property’s unit mix is comprised of 48 one-bedroom/one-bathroom apartments and 60 two-bedroom/two-bathroom units.