By Balazs Szekely, Associate Editor
A 64-unit apartment property near Nova Southeastern University in Davie, Fla. has recently received financing. College Square Apartments is owned by Snow Real Estate, a private investor based in Hollywood, Fla. CBRE originated the $6.2 million non-recourse bridge loan on behalf of Jeffrey and Adam Snow.
Located at 6600 SW 39th St., the property is at the edge of the 314-acre NSU campus, a research university with approximately 27,000 students enrolled throughout 18 colleges and schools including medicine, dental medicine, law, business, pharmacy, social sciences, etc. It includes 40 one-bedroom units and 24 two-bedroom, one-bath apartments of 750 and 1,050 square feet respectively. The community was built in 1981 and the current owner acquired it in June 2014 for $5.8 million according to Yardi Matrix. Snow Real Estate has executed a capital improvements plan since then, which comprised of significant renovations and a repositioning strategy that pushed rents up 35 percent for the 17 units completed to date.
Jason Hochman of CBRE Capital Markets’ Debt & Structured Finance department arranged the financing with Aetna Life Insurance Co., which included funds to refinance and cash out an existing bank loan as well as future funding of improvements to be made to the property over the next two years. The loan has a five-year term and a fixed interest rate, including on future funding. “This bridge loan will help finance remaining improvements that, together with the property’s exceptional college-area location in a densely populated area of Broward County, will drive both value and return for our client,” Hochman said.
Photo credit: Snow Real Estate