Rick Giles is co-managing partner at Park Partners Residential. (Photo: Courtesy Photo)

The Florida apartment market has been booming with a healthy appetite from renters driven by population and economic growth, which meant developer Park Partners Residential LLC had an easy time securing a $45.8 million loan for a recently finished Davie community.

“What we found is that the debt markets are really cooperating with multifamily developers, and Freddie Mac is aggressively financing well-located multifamily projects,” said Rick Giles of Park Partners in Boca Raton. “The interest rates and the terms that are available today from the debt market are extremely favorable for developers like us,”

The 10-year, fixed-rate Freddie Mac refinancing was secured April 30.

Most of the money went to pay off the $41 million construction loan for the Parc3400 development, and the remainder went to project investors, Giles said.

Parc3400, finished in 2017, sits on just over 8 acres at 3400 Davie Road. Its 260 units with one to three bedrooms are in four five-story buildings. Parc3400, pegged as a luxury community based on amenities and unit finishes, is 94% occupied.

The developer has refinanced the 260-unit, four-building Parc3400 apartments in Davie.

“The demand for luxury multifamily is at an all-time high with demand being high and the economy being strong and population growing, especially in areas like Davie that are in high demand because of their proximity to employment centers,” Giles said.

Boca Raton-based Park Partners was formed in 2015 to capitalize on the multifamily market boom. The company picked the Parc3400 location because of its proximity to Davie's university complex, Interstate 595 and Florida's Turnpike.

It's about a three-minute drive to Nova Southeastern University, Florida Atlantic University's Davie campus and the University of Florida Fort Lauderdale Research and Education Center. Also, Plantation General Hospital is relocating to a new four-story hospital and a four-story medical office building next to the Nova campus.

“What we liked was the proximity to affluent renters who are looking for high quality in a great location,” Giles said. “There are thousands and thousands of professors and faculty and administrators associated with all those schools.”

At Parc3400, the rent for one bedrooms starts at $1,700 a month, and three bedrooms rent for  $2,500.

“The location of the property — with easy access to I-595, I-95, the turnpike and the Sawgrass Expressway — would really allow customers that live at the property to be anywhere north, south, east and west in a matter of 15 minutes,” Giles said.

The formation of Park Partners is one of the many signs of the thriving apartment market.

It's a joint venture between real estate investor Rosemurgy Properties LLC and Giles Capital Group LLC. Giles, who also is president of Giles Capital, and Alexander Rosemurgy, CEO of Rosemurgy Properties, lead Park Partners as co-managing partners.

Park Partners develops and manages multifamily properties and also buys value-add assets in Florida.

Some of its other projects are the 180-unit Parc3800 in Coconut Creek, with construction finishing this year, and the 598-unit University Park student housing in Boca Raton, which was finished in 2015 and sold a year later, according to the Park Partners website.

Park Partners also is developing the mixed-use Uptown Boca, under construction in Boca Raton. It will have 456 units in seven mid-rise buildings and more than 171,000 square feet of retail in eight buildings south of Glades Road.

Parc3400 amenities include are a 3,500-square-foot gym, dog washing stations, dog parks, pool, bicycle parking spaces and electric car charging stations.

The units have granite countertops, stainless steel appliances, washers and dryers, impact-resistant windows and walk-in closets.

HFF secured the loan on behalf of Park Partners and will service the loan. The debt placement team on the transaction included managing director Elliott Throne and director Jesse Wright, both based in Miami.

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