Mercury Investment buys Hunter's Ridge at Walden Lake

BUYER: MIC HR LLC (MAC Administrators XVIII Inc.), Duluth, Minn.
SELLER: CFLP Hunters Ridge LLC
PROPERTY: 1400 Plantation Blvd., Plant City
PRICE: $23 million
PREVIOUS PRICE: $19 million, March 2012
LAW FIRM ON DEED: Powell Carney Maller PA, St. Petersburg

PLANS, DESCRIPTION:
Mercury Investment purchased the 352-unit Hunter's Ridge at Walden Lake Apartments in Plant City for $23 million.

The price equated to $65,341 per unit. That figure is lower than the average price per unit ($70,803) for multifamily space in the Tampa Bay area, according to the CoStar Group.

Constructed in 1990 and 1991, the apartment features 23 buildings stretching across a 44-acre parcel. Amenities include a swimming pool and spa, playground and racquetball, tennis and basketball courts.
The gated development was roughly 93% occupied at the time of the sale.

“The seller had done quite a bit of work to the property,” says Abbot Apter, president and principal of Mercury Investment. “The previous owner had replaced all the roofs and had started replacing the siding. We plan to continue that work. It's an older property and has some deferred maintenance.”

The new owner expects to also repair the parking lot and improve the exterior look and curb appeal of the property.

Mercury Investment plans to market the property to the nearby medical community.

This sale marked the buyer's third apartment purchase in the past two years in the Tampa Bay region. It also owns the 352-unit Victoria Manor Apartments in Lakeland and own property in 312-unti Hibiscus Springs Rental Homes in Spring Hill.

Allison-Shelton Real Estate Services will manage the property.

The purchase price equated to a rough payoff ratio based on the 2013 rental income (capitalization rate) of 6.5%. The sale also included a loan assumption from the seller.

Jason Stanton of Hendricks-Berkadia's Tampa office and Cole Whitaker and Hal Warren in the firm's Orlando office handled the sale.