Developer sells 50-unit apartment complex in Miami Gardens for $19M

The developer of a 50-unit apartment complex in Miami Gardens sold the property for $18.5 million, amid an uptick in South Florida multifamily investment sales. 

An entity tied to Ronny Ackermann and Jose Rimsky of Hollywood sold The Villages at Miami Gardens at 3400 Northwest 191st Street, according to records and real estate database Vizzda. The purchasing entity ties to Glen Allen, Virginia-based Capital Square, an intermediary likely doing a 1031 exchange on behalf of the true buyer, Vizzda records show. The true buyer remains unknown. 

The buyer borrowed a $12 million Fannie Mae loan for the purchase. The deal breaks down to $370,000 per unit.

Completed in 2021, Villages at Miami Gardens consists of seven two-story apartment buildings on a 3-acre lot. It offers three- and four-bedroom units, with monthly rents ranging from $3,150 to $3,550. 

The selling entity had paid $900,000 for the development site in 2017, according to property records. 

South Florida multifamily investment sales have picked up in recent months. 

The tri-county region became a magnet for out-of-state residents during the pandemic, which prompted unprecedented apartment demand, record rent growth and a deal flurry. 

Over the past two years, the market slowed amid higher interest rates and some skittish lenders. Also, demand eased, lease-ups slowed and rents declined because developers completed a record number of units last year as the influx of newcomers slowed. 

The recent pickup coincides with the impending year-end, when investors rush to close purchases or sell properties to get them off their balance sheets. 

This month, Morgan Properties paid nearly $70 million for the 300-unit Visions at Willow Pond at  4860 Sand Stone Lane in unincorporated Palm Beach County. Also, Tishman Speyer bought the 270-unit Bell at Broken Sound Apartments at 5500 Broken Sound Boulevard Northwest and 950 Northwest Broken Sound Parkway in Boca Raton for $124.5 million. 

Last month, AEW Capital Management and Mast Capital sold the 342-unit Remi on the River apartment complex at 999 Northwest Seventh Street in Miami to Valeris Capital for $108.4 million. 

Legacy Residential Group paid $77 million, also last month, for the 416-unit Legacy at Coconut Creek complex at 4303 West Atlantic Boulevard in Coconut Creek.