A trio of Little Havana apartment buildings traded for a total of $29 million, a sign that investors are flocking to another South Florida multi-family submarket that is on fire.
Investors are exploring Little Havana in Miami because the neighborhood is seeing an influx of new tenants looking for better price and transit options while still being close to downtown Miami, Brickell, and downtown Miami. Miami International Airport and other employment centers in Miami-Dade County, said Carlos Fausto Miranda. with Fausto Commercial Realty.
Miranda and Mauricio Villasuso, also of Fausto Commercial, represented the sellers of the three buildings and two of the buyers. “When a place is attractive to tenants, it’s attractive to investors,” Miranda said. “Little Havana is a place where people want to live. The area has very good long-term prospects for the quality and quantity of rental growth.
Even though rents in Little Havana are between 30% and 40% higher than a year ago, prices in the area are very attractive compared to Downtown Miami and Brickell, Miranda said. “It’s a fraction of the rents there,” he said. “This creates opportunities for potential tenants to maintain a level of affordability and a strong element of connectivity in the sense that it is easy to get to surrounding job centers from Little Havana.”
718 First Street Northwest
An entity run by Miami’s Arturo Ortega paid $10.7 million for a 36-unit apartment building at 718 Northwest First Street, records show. The buyer obtained a $6.8 million mortgage from the International Financial Bank.
The buyer paid $297,222 per apartment.
The seller, an entity run by William Manchin and Gerardo and Luis Merino, bought the land for $1.1 million in 2004 and completed the building in 2015, records show.
Miranda and Villasuso represented the seller and the buyer.
Andes Apartments, 1250 Southwest Sixth Street
An entity run by Miami’s Armando Bardisa and Syam Ibrahim paid $9.2 million for the Andes Apartments, a 71-unit building at 1250 Southwest Sixth Street, records show. Transfer agent EMG, a Delaware entity, provided the buyer with an $8.3 million mortgage.
The deal comes down to $129,577 per apartment.
The seller, an entity run by Miami’s Izhak Wanounou, paid $3.9 million for the property in 2004, records show. The building was completed in 1929.
Miranda and Villasuso represented the seller and the buyer. The buyer intends to renovate and restore the building, Miranda said.
2900 Northwest Seventh Street
An entity managed by Wanounou purchased the 35-unit apartment building at 2900 Northwest Seventh Street for $9.4 million, records show. The deal breaks down to $268,571 per apartment.
The seller, an entity run by Miami attorney and developer Gil Contreras, bought the land for $1.1 million in 2005 and completed the seven-story building in 2010, records show.