Avanath Capital Management fund buys Ospreys Landing Apartments

BUYER: Avanath Naples LLC (chief financial officer: Ron Juskiewicz), Irvine, Calif.
SELLER: Ospreys Landing Ltd.
PROPERTY: 5005 Davis Blvd. also known as 100 Ospreys Landing, Naples
PRICE: $13.05 million
PREVIOUS PRICE: $968,000, December 1993
LAW FIRM ON DEED: Lowndes Drosdick Doster Kantor & Reed PA, Orlando

PLANS, DESCRIPTION:
An investment fund managed by Irvine, Calif.-based Avanath Capital Management purchased the 176-unit Ospreys Landing Apartments for $13.05 million.

The price equated to $74,148 per unit. That figure is in line with the average price per unit for multifamily space ($70,191) in Southwest Florida, according to the CoStar Group.

The firm's Avanath Affordable Housing II fund targets multifamily properties with affordability, section-8 or low-income tax credit restrictions. Ospreys Landing is covered under the latter, which means that the property owner receive federal tax credits in exchange for limiting the rent it charges and the property's tenants to people with incomes below the median income.

The garden-style apartment was 97% occupied at the time of the sale. The community features one-, two- and three-bedroom apartment units.

Built in 1995, the development includes a clubhouse, fitness center, playground, swimming pool, car wash and basketball and volleyball courts.

“We have no large scale improvement plans as of right now,” says Benjamin Finley, senior vice president of acquisition for Avanath Capital Management. “We are just planning to maintain the status quo. We like the stability of the asset and the fact that didn't require a significant amount of maintenance.”

The new owner has hired McKinley's Institutional Residential Real Estate team to manage the property.

The purchase entity, Avanath Naples LLC, mortgaged the property to Keybank National Association for $8.48 million.