A.M. Holt

An HFF team worked under one of the tightest deadlines managing director Jaret Turkell can recall to sell two Palm Beach County apartment communities.

“It's probably one of the quickest ones,” Turkell, based in Miami, said of the deal.

The team had about three months to close the transaction, Turkell said. The first two weeks was specifically for marketing the properties and getting them under contract.

Others from HFF who worked on the deal are senior managing director Matt Mitchell and director Zach Nolan, both based in Tampa, and senior director Maurice Habif and analyst Simon Banke, both in Miami.

They represented seller Preston Giuliano Capital Partners LLC of Providence, Rhode Island, in the $56 million sale of Mallards Cove and Shell Trace, adjacent apartment communities southeast of Interstate 95 and Indiantown Road just outside Jupiter. The deal closed Aug. 10.

“I think the capital markets are aggressively buying properties, and these were just really well-positioned for sale,” Turkell said. “There was a lot of upside, and they (Preston Giuliano) decided to take advantage of the sale.”

The buyer — Newton, Massachusetts-based real estate investor Northland Investment Corp. — has combined the two communities into one called Jupiter Isle at 6705 Mallards Cove.

HFF worked to get the deal done on deadline by setting up a website with information about the complexes and contacting about more than two dozen potential buyers, Turkell said.

“We called the top 30 groups that we knew would be interested in an opportunity like this,” he said. “We deal in this type of property a lot, and we know who the active buyers are. and we know who the buyers are who will move quickly.”

Why the rush? Preston Giuliano Capital Partners wanted to close the deal in time to qualify for a 1031 exchange, said manager Barry Preston.

Under the federal tax code, someone can sell one property, purchase another and defer paying capital gain taxes if both transactions close within a set deadline.

Preston Giuliano Capital Partners bought an apartment community in Jacksonville as the other half in the exchange, Preston said.

“The benefit of a 1031 exchange is it defers the taxes you pay on the sale until you sell the next property,” he said, explaining some taxes on the sale of the Palm Beach County properties are deferred until it sells the Jacksonville property.

Preston Giuliano Capital Partners bought Mallards Cove in December 2012 and Shell Trace in September 2013, Preston said.

At first, Mallards Cove was a condominium community, but Preston Giuliano Capital Partners bought the condo units and turned it into apartments, he said.

“In our judgment these days, an apartment community is actually more valuable than the same community as a condominium,” Preston said.

Preston Giuliano Capital Partners wasn't planning to sell the apartments, especially since it was doing capital improvements, he added.

“We got an offer from the buyer that was compelling,” he said.

Northland paid about $156,016 for each of the 359 apartments in Jupiter Isle.

At Jupiter Isle, the rent for one-bedroom apartments is $1,270 a month for the 600-square-foot Coquina layout and $1,210 for the 653-square-foot Caribbean layout, according to its website. Two-bedroom rents range from $1,265 to $1,395.

Jupiter Isle has a swimming pool and fitness center.

“Jupiter Isle is a classic value play and one of those properties that will always be in high demand,” Mitchell, HFF senior managing director, said in a news release. “It offers residents the combination of a fantastic location and better affordability compared to newer communities in Jupiter.”

A.M. Holt

An HFF team worked under one of the tightest deadlines managing director Jaret Turkell can recall to sell two Palm Beach County apartment communities.

“It's probably one of the quickest ones,” Turkell, based in Miami, said of the deal.

The team had about three months to close the transaction, Turkell said. The first two weeks was specifically for marketing the properties and getting them under contract.

Others from HFF who worked on the deal are senior managing director Matt Mitchell and director Zach Nolan, both based in Tampa, and senior director Maurice Habif and analyst Simon Banke, both in Miami.

They represented seller Preston Giuliano Capital Partners LLC of Providence, Rhode Island, in the $56 million sale of Mallards Cove and Shell Trace, adjacent apartment communities southeast of Interstate 95 and Indiantown Road just outside Jupiter. The deal closed Aug. 10.

“I think the capital markets are aggressively buying properties, and these were just really well-positioned for sale,” Turkell said. “There was a lot of upside, and they (Preston Giuliano) decided to take advantage of the sale.”

The buyer — Newton, Massachusetts-based real estate investor Northland Investment Corp. — has combined the two communities into one called Jupiter Isle at 6705 Mallards Cove.

HFF worked to get the deal done on deadline by setting up a website with information about the complexes and contacting about more than two dozen potential buyers, Turkell said.

“We called the top 30 groups that we knew would be interested in an opportunity like this,” he said. “We deal in this type of property a lot, and we know who the active buyers are. and we know who the buyers are who will move quickly.”

Why the rush? Preston Giuliano Capital Partners wanted to close the deal in time to qualify for a 1031 exchange, said manager Barry Preston.

Under the federal tax code, someone can sell one property, purchase another and defer paying capital gain taxes if both transactions close within a set deadline.

Preston Giuliano Capital Partners bought an apartment community in Jacksonville as the other half in the exchange, Preston said.

“The benefit of a 1031 exchange is it defers the taxes you pay on the sale until you sell the next property,” he said, explaining some taxes on the sale of the Palm Beach County properties are deferred until it sells the Jacksonville property.

Preston Giuliano Capital Partners bought Mallards Cove in December 2012 and Shell Trace in September 2013, Preston said.

At first, Mallards Cove was a condominium community, but Preston Giuliano Capital Partners bought the condo units and turned it into apartments, he said.

“In our judgment these days, an apartment community is actually more valuable than the same community as a condominium,” Preston said.

Preston Giuliano Capital Partners wasn't planning to sell the apartments, especially since it was doing capital improvements, he added.

“We got an offer from the buyer that was compelling,” he said.

Northland paid about $156,016 for each of the 359 apartments in Jupiter Isle.

At Jupiter Isle, the rent for one-bedroom apartments is $1,270 a month for the 600-square-foot Coquina layout and $1,210 for the 653-square-foot Caribbean layout, according to its website. Two-bedroom rents range from $1,265 to $1,395.

Jupiter Isle has a swimming pool and fitness center.

“Jupiter Isle is a classic value play and one of those properties that will always be in high demand,” Mitchell, HFF senior managing director, said in a news release. “It offers residents the combination of a fantastic location and better affordability compared to newer communities in Jupiter.”