BH BRADLEY 2012 FLORIDA PORTFOLIO
BH Equities has teamed with Pensam Capital to acquire, renovate and own two apartment communities in central Florida – Promenade at Belleair, a 145-unit community in Clearwater and Promenade at Uptown, a 185-unit community in Altamonte Springs, Florida, a northern suburb of Orlando. These properties are undergoing major rehab and repositioning. These two properties are value-add investments. Belleair consists of three concrete block buildings that were in foreclosure and had been partially closed by the City. It was purchased for $17,100 per unit and our renovation plan is $3.4 million and includes addressing all issues. Promenade at Uptown is directly across the street from a leading regional mall in the Altamonte Springs area. Our $1,500,000 rehab plan includes a complete remodelling of the clubhouse as well as interior upgrades, roof replacement, painting, fitness upgrade, and adding a veranda to the clubhouse.
The Clearwater Property was purchased, on an all-cash basis, in late 2010 by Pensam Belleair Gardens. The purchase price was $2.5 million ($17,250/unit). The Property has arranged for a credit facility of up to $3 million to fund the completion of the rehab projects from Branch Banking and Trust Company of Miami, Florida at an interest rate of prime plus 0.45%. The Altamonte Springs Property was purchased in September, 2011 by PBH Willow Park. The purchase price was $8.55 million ($46,200/unit), after accounting for a seller improvement credit of $400,000. The acquisition included the assumption of Freddie Mac financing totaling approximately $6.65 million, with a blended interest rate of 6.9% and a maturity date of December, 2015.