The Real Deal Miami

LSR Communities trades its Boca Raton apartment complex for $77M

Rents for complex start at $1,200 per month for one-bedroom unit

May 27, 2016 06:00PM
By Sean Stewart-Muniz

  • Print
Arbor Oaks apartments

Arbor Oaks apartments

LSR Communities, a Texas-based owner and operator of apartment communities, just sold one of its rental complexes in Boca Raton to an affiliate of JRK Property Holdings for $77 million.

County records show the sale is for Arbor Oaks, a 360-unit apartment community at 9703 Arbor Oaks Court.

Described as a luxury community on its website, Arbor Oaks has asking rents ranging between $1,275 and $1,900 per month. Its floor plans come in one-, two- and three-bedroom configurations that are a minimum of 820 square feet.

LSR Communities added Arbor Oaks to its portfolio in 2009 when it paid $39.15 million, or $108,750 per unit for the complex, according to county records.

Now, the company has sold it for nearly double that price at $213,888 per unit. The buyer, JRK Property Holdings, is a real estate investment firm based in Los Angeles. It mainly targets “value-added opportunities” that produce solid cash slow, according to the company’s website.

JRK financed its purchase with a $58.6 million loan from Berkadia Commercial Mortgage.

South Florida’s multifamily investment market was a hot ticket last year, with more than $2.7 billion worth of rental properties trading hands. Industry insiders cited steadily rising rents and growing demand from demographics like millennials as reasons why the multifamily market here is heating up.

MENU