A joint venture between Pantzer Properties, Inc. and Savanna has closed on Long Island’s biggest ever apartment sale.
Holliday Fenoglio Fowler, L.P. brokered the $208 million sale of Atlantic Point Apartments, a 795-unit, Class A apartment community in the Suffolk County community of Bellport, on behalf of the sellers.
At around $262,000 per unit, the sale represents the largest single-asset multifamily transaction to ever occur on Long Island, according to HFF. The buyer was the US arm of Bahraini firm Investcorp. According to the company, the Atlantic Point property was attractive because of the supply-demand imbalance in Suffolk County’s real estate market.
“We have great confidence that the U.S. is a place where our investments will continue to serve our global client base well, as we believe the U.S. economy is poised for significant growth. We have a long history of investments in the U.S., and our $1.2 billion investment in residential properties in the past 18 months demonstrates our belief that the U.S. real estate market provides high-quality investments that will generate steady returns in the years to come,” said Investcorp Executive Chairman Mohammed Alardhi.
Atlantic Point Apartments, built in two phases in 2003 and 2004, comprises 137 two-story buildings with 183 one-bedroom, 346 two-bedroom and 266 three-bedroom residences.
Situated on 115 landscaped acres, the property is located at 1220 Orchid Circle between the Long Island Expressway (Interstate 495) and Sunrise Highway (Route 27), and is approximately 55 miles east of New York City. Atlantic Point Apartments features a full amenity package highlighted by three amenity areas with outdoor swimming pools and tennis courts.
JOSE CRUZ
Additionally, the gated community has a two-story clubhouse with a large fitness center, locker rooms, half-court basketball court, media room, business center, community room and large kitchen/bar area. The grounds feature several fountain ponds, playgrounds, dog parks and a walking trail. The apartment units average 1,133 square feet each with features including private entrances and direct-access garages, vaulted ceilings, in-unit washers and dryers, fireplaces and patios/balconies. The property was 96 percent leased at closing.
The HFF investment sales team representing the seller was led by senior managing director Jose Cruz, managing director Kevin O’Hearn, directors Michael Oliver and Stephen Simonelli and supported by senior managing director Andrew Scandalios.
“The Atlantic Point property provides the new owner with great upside and the ability to add significant value,” stated Cruz. “The sellers took advantage of a terrific time in the capital markets for multifamily real estate”.
