Flagler Pointe, St. Petersburg, Florida
Argosy Real Estate invested in acquisition, redevelopment and repositioning of a 416 unit apartment complex.
Property: Flagler Pointe
Operating Partner: PRG Real Estate
Location: St. Petersburg, FL
Asset Class: Multifamily
Initial Closing: July 1995
- Low Cost Basis – The property was purchased from a bank, well below comparable assets in the market. The complex was a C- asset that was poorly managed and had security and crime issues.
- Risk Mitigation – The property was well-located, close to million dollar waterfront homes with a good site plan, strong unit mix, large floor plans and had nice amenities. Argosy had a long and successful relationship with the operator who had the experience and expertise to turn the asset around.
- Value Creation – Working with Argosy, operator executed a capital improvement plan and completely repositioned the asset. A comprehensive security program was implemented, on-site management was replaced, and increased tenant screening practices were put into practice. Property was upgraded to Class B asset and occupancy increased to nearly 100%.
- Multiple Exit Strategies – Cash returned to date: $4,247,503. Current property value: $23,000,000. Property is now considered an institutional grade asset that is attractive to a national buyer.
