The Loree, a 300-unit, 16-building apartment complex at 8649 A.C. Skinner Parkway, was sold Monday for $56 million.
The buyer is private equity firm Momentum Real Estate Partners of Miami.
The Loree was developed by AC Packer LLC with principal Joseph Eckstein. Completed early last year, it was 97 percent occupied at the time of sale.
Momentum financed $38 million through Allianz Life Insurance and Allianz Global Risks US Insurance.
Rents at Loree range from $1,120 for a one-bedroom unit to a high of $1,595 for a three-bedroom apartment.
The purchase price reflects a per-unit value of $187,000. With an average rent of about $1,300 per unit, the gross rent multiplier shows a payback on the investment in just under 12 years.
Gross rent multiplier does not factor in vacancies and operating expenses, nor does it consider future changes in lease rates.
“The Loree was an attractive acquisition for Momentum Real Estate Partners due its best-in-class clubhouse, amenity package, luxury finishes and the strong market fundamentals of Jacksonville as a whole and the Southside market in particular,” said Jeff Carron, director of Momentum Real Estate Partners.
Momentum also owns Terraces at Town Center, which Carron said is a strong complement to its newest property.
“The two communities are a strong complement to each other, providing different amenity sets and different units,” he said.
In contrast to The Loree, the Terraces offer only one- and two-bedroom units.
The Loree luxury apartments occupy 15 acres with an assessed value of $34 million. The complex features one-, two- and three-bedroom apartments designed to appeal to a sophisticated clientele.
Amenities include a resort-style pool, fitness center, outdoor yoga lawn, pet care center, dog park, chef’s demonstration kitchen and air-conditioned hallways.
“Momentum identified Jacksonville for its market fundamentals, employment growth, high standard of living and business-friendly environment,” said Carron.
“We felt The Loree was a key driver and a strategic location. It’s minutes from St. Johns Town Center, Topgolf, numerous employers, the Baymeadows office corridor and its proximity to the beach, Downtown and other amenities that appeal to our target demographic,” he said.
The Loree is south of Butler Boulevard and west of Southside Boulevard.
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