California investors buy multifamily portfolio in Fort Lauderdale

The buyers are transitioning their investments from California to Fort Lauderdale

Joseph P. Thomas, Adam Duncan and Tyler Carbonelli with the Fort Lauderdale properties
Joseph P. Thomas, Adam Duncan and Tyler Carbonelli with the Fort Lauderdale properties

A group of investors from California paid $13.13 million for a portfolio of apartments in Fort Lauderdale’s Victoria Park and Las Olas neighborhoods.

McFig LLC, led by Edward F. Figaredo of Montclair, California; Carreras Properties LLC, led by Luis Carreras of Downey, California; and Lazarous Properties LLC, led by Lazaro J. Alonso of North Bay Village, acquired eight properties in Fort Lauderdale in two deals.

The first consisted of a 32-unit assemblage at 912 and 320 Northeast 15th Avenue, 1606 Northeast Second Court, 207 Southeast 10th Terrace, and 315 Southeast 11th Avenue, which sold for $7.4 million, according to a press release from Marcus & Millichap. Records show the seller was Atlantic Loft LLC, which is tied to Park Place Financial of Champaign, Illinois.

The second deal is for 27 units at 408 Northeast Seventh Avenue, 820 North Victoria Park Road and 86 Isle of Venice Drive, which sold for $5.73 million. The sellers were three companies led by Owen Whyte and Spencer Thwaytes.

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Marcus & Millichap’s Joseph P. Thomas, Adam Duncan and Tyler Carbonelli were the exclusive listing brokers of the properties. They also represented the buyers, who purchased the buildings via a 1031 exchange. The buyers are looking to build a local portfolio of apartments near downtown Fort Lauderdale and are under contract to purchase more, according to the release.

The $13.13 million deal breaks down to about $222,500 per apartment.

Duncan said in the release that the buyers, a partnership of investors, are transitioning out of California, citing Florida’s lack of state income tax and lack of rent control.

Recent changes in rent regulation in states like New York and California have propelled investors in those states to head to Florida, according to brokers.

Last month, Bar Invest Group sold the Serramar Apartments in Fort Lauderdale to New York-based Milbrook Properties for $58 million, or $192,000 per unit.