A California-based investor has scooped up the CityView apartments in West Palm Beach, Florida for $20 million. Investors Management Group bought the 217 unit property for $92,166 per unit. Built in 1970, the property consists of 26 two-story residential buildings which average 1,223 square feet per unit, the largest in the submarket. The seller, Harbor Group International, LLC, acquired the property in July 2013 for $12.8 million and carried out a $1.45 million capital improvement program. At the time of closing the complex was 96 percent leased. The buyer received a $15.81 million mortgage from Greystone Servicing Corp. that was backed by Fannie Mae.
“HGI has a strong track record of building value at a property through significant capital improvement programs and CityView is an excellent example of our successful investment thesis,” said T. Richard Litton, Jr., President of HGI. “HGI completed a large-scale improvement program that was started by the previous ownership and we were able to bring about positive rent growth, creating value for our investors. CityView also validates HGI’s strategy to invest in the South Florida apartment market, which continues to benefit from strong occupancy and rent growth.”
