Acquisition represents fourth by Baltimore-based Continental Realty Fund IV, a $164 million fund that seeks value-add retail and multifamily opportunities
Continental Realty Corporation, a Baltimore-based real estate investment and management company, has acquired Polo Glen Apartments, a residential community consisting of 252 garden-style apartment units in Rockledge, Florida. The community is located near the areas of Viera, Melbourne and Cocoa Beach in Brevard County and was purchased for $38 million. The asset was purchased from Pollack Shores, who was represented by Patrick Dufour, Scott Ramey, Kevin Judd and Ryan Crowley of Apartment Realty Advisors of Florida, LLC.
The apartment community, located at 3603 Middleburg Lane, was acquired on behalf of Continental Realty Fund IV, L.P., a $164 million fund which is focused on acquiring value-add retail and multifamily properties in the Mid-Atlantic and Southeast regions. This represents the fourth property and second residential asset purchased by the Fund, which includes Avana at Carolina Point, a 346-unit apartment community in Greenville, South Carolina that was acquired last year.
Constructed in 2008, more than 70% of the apartment homes within Polo Glen feature ground floor entries, nearly one-half include a direct-access garage and the average size consists of approximately 1,200 square feet of space. Community amenities include an interior lake; resident clubhouse outfitted with a swimming pool and fitness center; car wash facility; community entertainment area with an outdoor barbecue and fireplace; playground; tennis courts and a lakeside walking path. The apartments also feature screened patios / balconies, nine foot ceilings, cherry cabinetry and full-sized washer and dryers.
Rockledge is located within immediate proximity to what is recognized as a rapidly-expanding business area, including the high-tech sector and aerospace industry, with The Space Coast supporting the largest share of Science, Technology, Engineering and Math (STEM) jobs in Florida. The Space Coast is ranked second in Florida for project capital investment and currently contains more than 15,000 businesses. Notable nearby employers include Harris Corporation, Northrup Grumman, the Kennedy Space Center, Patrick Air Force Base and SpaceX.
The average household income within a three-mile radius of Polo Glen Apartments exceeds $75,000, a figure that is more than $10,000 above the average in the State of Florida. Projected population growth between 2015 and 2020 is approximately 7.4% and nearly 70% of all residents within this three-mile radius has a college degree.
According to various research companies that track the multi-family residential industry, as of December 2015, the annual effective rent growth in the Melbourne-Palm Bay metropolitan statistical area was 8.0%.
“Polo Glen Apartments offers compelling advantages led by a strategic location along the Space Coast section of Florida, and outstanding physical attributes including numerous high-end apartment features, stated J.M. Schapiro, Chief Executive Officer of Continental Realty Corporation. Thousands of jobs are being created in the Space Coast by companies like Northrop Grumman, Harris Corporation, SpaceX, and Blue Origin.
“The asset satisfied each value-add criteria in our evaluation and analysis methodology, including its position midway between the region’s largest residential demand drivers in Cape Canaveral and the Melbourne-Palm Bay sub-markets. With large open floorplans, individual entries and direct access garages, Polo Glen appeals to a wide array of Florida residents as well as those relocating to Florida. We envision the achievement of long-term value with the investment of resources to upgrade the apartment features and the community amenities.”
Continental Realty Corporation, headquartered in Baltimore and founded in 1960, is a full-service commercial real estate investment and management company. The privately-owned firm owns and manages a diversified portfolio of retail centers consisting of more than three million square feet of space, as well as apartment home communities featuring more than 9,000 units. Positioned throughout the Mid-Atlantic and Southeast regions, the value of the portfolio exceeds $1 billion. For additional information, visit www.crcrealty.com
