DALLAS, TX - Behringer Harvard announced today its acquisition of the fee title to The Palms of Monterrey, a 408-unit, resort-style multifamily community situated on a 28-acre site in Fort Myers, which is on Florida's southwest coast in Lee County, approximately 100 miles south of Tampa.
Behringer Harvard originally invested in the senior mortgage debt on The Palms of Monterrey in October 2009 via a joint venture between Behringer Harvard Opportunity REIT II, Inc., which is a 90 percent partner, and a separate partnership formed by DeBartolo Development and Christian Tyler Properties, LLC, which is a 10 percent partner. The joint venture recently foreclosed on the senior mortgage debt and purchased The Palms of Monterrey at the foreclosure sale, thereby acquiring fee title to the property.
"The previous owners of The Palms of Monterrey envisioned it as a condominium community after their 2006 acquisition, but changing market conditions interfered and the units were never sold," said Mr. Samuel A. Gillespie, Chief Operating Officer of Behringer Harvard Opportunity REIT II, Inc. "Following the recommitment to a rental strategy, The Palms of Monterrey has benefited from strong demand and is now 98 percent leased. We are pleased to have this attractive opportunity to now own a highly desirable and stabilized multifamily community."
Constructed in 2001 at 15250 Sonoma Drive, the gated community consists of 17 three-story residential buildings, a clubhouse with a business center, a fitness center with a racquetball facility, a lighted tennis court, a playground, two heated pools and a poolside hot tub. Units feature one, two or three bedrooms and range in size from 1,008 to 1,496 square feet.
The Palms of Monterrey is less than a mile from HealthPark Medical Center, an employment center that includes a 270-bed acute care facility and the only comprehensive children's health care center between Tampa and Miami. Residents also are only minutes from Fort Myers Beach and the Sanibel and Captiva islands, as well as many hospitality-industry employers.
Behringer Harvard creates and manages global institutional-quality investment programs for individual and institutional investors through its real estate investment trusts, joint ventures and proprietary program structures. The company also offers strategic advisory, asset management and capital market solutions. Behringer Harvard has interests in or manages more than $10 billion in assets.
Source: Behringer Harvard