Pension fund buys Channelside apartments for $76.5M

TAMPA -- Florida's public pension fund purchased the new 356-unit Pierhouse at Channelside apartment development for $76.5 million.

The price equated to $214,888 per unit. That figure is higher than the current average price per unit for multifamily space ($70,803) in the Tampa Bay area, according to the CoStar Group.

Miami's Related Group completed construction of the four-story upscale apartment in August. Walker and Co. was the general contractor for the project.

Although the development still has a large vacancy rate, 39.9% as of Costar's last review of the property, it's average asking rent comes in at $1,675.97. Asking rent start in the $1,200s for a 539-square-foot studio and go up to around $2,700 for the most expensive three-bedroom/two-bathroom units.

Community amenities include a gated parking garage, nautical-themed art park, clubhouse, courtyards, two-story fitness center, swimming pool, spa and gazebos with fire pits and grilling areas.

The state public pension fund invests 10% in real estate, says Dennis MacKee, a spokesman for the State Board of Administration. He says,the fund invests the majority in core real estate and a smaller portion to enhanced or opportunistic real estate.

The Related Group purchased the 6.33-acre property for the Pierhouse at Channelside in late 2010 for $6.5 million.

Engler Financial Group started marketing the property for sale shortly after it was opened in September.