The Real Deal Miami

Key International puts Little Havana apartment portfolio up for grabs: $12M

Asking price is roughly $151,898 per unit

April 27, 2016 01:30PM
By Sean Stewart-Muniz

  • Print
931 Southwest 3rd St and 910 Southwest 2nd Street

931 Southwest 3rd St and 910 Southwest 2nd Street

Key International has placed its assemblage of low-rise apartment buildings in Little Havana on the market with an asking price of $12 million.

The listing, announced by Marcus & Millichap on Wednesday, includes a collection of 10 two-story rental properties at 931 Southwest 3rd Street and 910 Southwest 2nd Street in Miami.

With 79 units and 51,774 square feet of rentable space, the asking price breaks down to about $151,898 per unit and $231 per foot.

“As prices continue to rise in downtown Miami and the surrounding Brickell area, investors have seized the opportunity to revitalize and redevelop Little Havana, pushing rents up while maintaining a high level of demand due to limited affordable rental inventory,” Marcus & Millichap’s Arthur D. Porosoff said in the announcement.

The upside to that market trend, Porosoff said, is that a potential buyer could replace the assemblage’s current Section 8 tenants and remove them with renters who pay market rate. Ryan Shaw of Marcus & Millichap is co-listing the property.

Units in the assemblage average 651 square feet, with a mix of three studios, 48 one-bedroom units and 28 two-bedroom units.

County records show a Key International affiliate bought the assemblage in 2001 for $2.528 million. That price breaks down to about $32,000 per unit, or just under $49 per rentable square foot.

Outside of its multifamily investments, Key International is co-developing the Harbour condo project in North Miami Beach with 13th Floor Investments.