PNC Bank lends $ 41 million to multi-family Daytona Beach, Fla. Acquisition – Business Observer


Based in Nashville Nicol investment company has incurred more than $ 41 million in debt with PNC Bank to facilitate his purchase of an apartment complex in Daytona Beach, Fla., has learned from Commercial Observer.

The loan was used to acquire Madison Pointe, a garden-style complex of 240 units in 1310 Tomoka Town Center Promenade to Daytona for $ 68.5 million, which represents a loan-to-cost ratio of almost 60%. Nicol announced his purchase of the property on December 1.

A joint venture between Palm Beach Gardens, Florida Eastwind Development and West Palm Beach, Florida North American Development Group developed and sold the property, according to Newmark, who advised the seller in the matter and also provided the financing for Nicol.

Financial Director of Nicol, Grant Nicol, said in a statement upon the announcement of the purchase that the deal is a continuation of the company’s goal of “investing in well-located, well-equipped communities in markets to high barriers “.

A PNC Bank representative did not respond to a request.

Newmark’s Scott ramey, Brad downing and Paul Grant advised the sellers on the transaction, while Matthew williams and Kyle schlitt, of Newmark’s debt and structured finance group, provided financing for the Nicol acquisition, according to Newmark.

“We were able to secure extremely aggressive borrowing terms that provided our client with the loan dollars and flexibility to execute their business plan,” Schlitt said in a statement. “Madison Pointe will be a great addition to Nicol’s portfolio in Central Florida. ”

Built in 2020, the apartment community comprises a set of four buildings with four-story elevators that surround a central clubhouse. The property has a resort-style swimming pool, outdoor kitchen and lounge, fitness center that includes yoga and spin studio, game room, pet spa company, a dog park, electric car charging stations and garages for rent, according to information on the establishment’s website and Apartments.com.

The property is located next to the Tomoka City Center and Tangier Outlets Daytona Beach, two open-air shopping centers that together include over 1 million square feet of retail space.

“Madison Pointe is adjacent to downtown Tomoka and Tangier outlets, which include over a million square feet of retail and food service, and is within minutes of major employers like AdventHealth Daytona Beach, Halifax Health Medical Center and Daytona International Speedway, ”said Nicol.

Ramey of Newmark said the property is located in a “coveted location that provides residents with unparalleled pedestrian accessibility to a variety of retail, dining and entertainment options,” which he added , has led to “an incredible rental, reaching a leveling off in less than seven months after taking initial moves. This strong historic performance gives the new owner a tremendous opportunity to benefit from the long term growth trends unfolding in the market. rapidly growing Daytona Beach. ”

Madison Pointe includes a mix of one, two and three bedroom units, ranging in size from over 730 square feet to nearly 1,300 square feet, according to listings from Apartments.com. Monthly rents range from over $ 1,500 for one-bedroom apartments to around $ 2,000 for three-bedroom apartments.

Mack Burke can be contacted at mburke@commercialobserver.com.


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