Uptown 22 apartment complex in West Palm sells for $41M

Grand Peaks Properties sold the recently renovated Uptown 22 apartment complex in West Palm Beach for $41.4 million.

Records show the Denver-based multifamily investor sold the 252-unit property at 2210 North Australian Avenue.

Buyers Uptown 22, Uptown 22 II and Uptown 22 III are managed by Jacques Schmidt and Abraham Weber, who are with computer systems design firm Schweb Partners, based in Jackson, New Jersey. Each of the buying entities acquired a percentage of the property, records show.

The deal breaks down to $164,286 per unit.

Jaret Turkell and Omar Morales of Berkadia represented the seller in the deal.

Uptown 22, built in 1997, originally was an assisted living facility before it was turned into an apartment complex, according to Berkadia’s offering memorandum. The complex has two six-story residential buildings, all with one-bedroom units, on 8 acres.

Grand Peaks Properties bought the property for $21.4 million in 2018, records show.

The company, founded and led by CEO Luke Simpson and President Nick Simpson, completed more than $5.5 million in capital improvements, including a new pool that opened in March. That has driven up rents by 15 percent, with recent leases signed for $1,249 a month, according to the offering memorandum.

The property offers more upside potential, as there is a roughly 6,000-square-foot unused dining hall, which was left from the ALF and could be turned into retail or office space. The dining hall, which includes a fully equipped kitchen, could be leased to a ghost kitchen or used as added amenities for residents, the offering memorandum says.

The deal comes on the heels of several Palm Beach County multifamily sales. Cortland just bought a new apartment community in Boca Raton for $230 million, marking the most expensive multifamily sale in South Florida this year.

In February, ZOM sold an apartment complex that it recently developed in West Palm Beach for $48.3 million.

Also, real estate investor and motivational speaker Grant Cardone bought a Boca Raton complex in May for $69 million.