Miami-based Bar Invest Group bought the Visions at Willow Pond apartments near West Palm Beach for $56.2 million.
Sand Stone Lane LLC, an affiliate of New York-based Axonic Properties, sold the 300 apartments at 4860 Sandstone Lane. BankUnited provided a $36 million loan to the buyer. Newmark Knight Frank’s Tal Frydman, Avery Klann, Hampton Beebe, Tyler Minix and Jonathan Senn brokered the deal.
The property last traded for $48.5 million in 2018.
“After a competitive bidding process, Axonic Properties picked Bar Invest Group for their expertise in the market and strong capacity to close on all of their acquisitions,” said Frydman. “Axonic Properties did a fantastic job upgrading units and thus improving the asset’s rent roll. Bar Invest Group intends to complete all renovations and make additional property upgrades.”
Visions at Willow Pond was built in 1987. It has 17 buildings, ranging from two to three stories. Amenities include a clubhouse, fitness center, pool and tennis courts.
It’s just south of the Ballpark of the Palm Beaches.
“This property went under contract in February 2020 and we are excited to see this sale come to fruition during uncertain times,” said Jonathan Shechtman of Axonic. “NKF did an excellent job throughout this execution.”
Barbera said Bar Invest acquired the Visions at Willow Pond because there’s the potential to increase its value by raising rents and completing renovations to the interiors of the units. He plans to raise rents soon to be in line with competing buildings in the area.
Rent is currently $1,100 for a one-bedroom and $1,350 for a two-bedroom, Barbera said. He plans to raise them to $1,250 and $1,525, respectively.
Tenants in the project haven’t been impacted too badly from the pandemic, Barbera said. It’s 95% occupied and 92% of rent has been collected this month.
Barbera plans to renovate unit interiors, including the kitchens, flooring and bathrooms, and raise rents another 10%.
Bar Invest owns about 1,500 apartments in Broward County. He said 98 to 99% of rent has been collected in that portfolio.
“In the types of properties we have, the people are still working,” Barbera said. “Often they have less hours of work but they still covered the rents.”
Barbera said the company plans to acquire two more apartment complexes in South Florida by the end of 2020.