Why We Like This Deal:  Florida is known as a “long-term growth state.” People relocate here with plans to stay awhile. Florida has been one the fastest growing states in the country over the past seven decades, often located in the top four. With more and more people moving to Orlando and surrounding areas, the inevitable increase in jobs and incomes has also helped push Orlando to the top of the real estate investment list. The ability to offer lower priced apartments than the competition by building smaller. In exchange they obtained a much higher rent per square foot.

Population & Job Growth: Orlando experienced the best year-over-year employment growth rate in August among the 41 largest metros in the U.S. at 4.0%, nearly triple the national rate of 1.4%. 70,000 households projected to call Orange County home by 2030. The current unemployment rate in Orlando is 2.9%.

Local and County support at All Time High: Orlando area was ranked dead last among U.S. cities for affordable housing, according to one report from the National Low-Income Housing Coalition. In Orange County, 31% of the 320,000 households are cost-burdened, meaning they spend at least a third of their income on rent. The need is at an all-time high for more affordable living solutions. The city of Orlando has launched Creative Village on the west side. Creative Village is currently in phase I of a three-phase development plan with the Master Development Agreement running through 2031. Future phases include additional residential (student housing and mixed-income), office space and a hotel. The city and its partners will continue the spirit of collaboration to bring residents new pathways to education, careers, business, housing and community. As part of Creative Village, UnionWest is UCF’s new student resident community at UCF Downtown and Valencia College Downtown at Creative Village. UnionWest is a 15-story building with restaurants on the ground floor, student services, classrooms and amenities conveniently located on floors 1–5, and student residences on floors 6–15.

New Construction: The target audience for micro-apartments is single twenty-somethings with relatively lucrative jobs in the city. These are the residents who are willing to trade square footage for a vibrant, convenient location; who live alone and haven’t yet accumulated many possessions; who can afford the moderately high rent costs; and who spend the majority of time at work or socializing outside of their apartment. We will be creating 100 considered affordable housing micro units with onsite parking, retail and office space.

Project Info:

Highly successful, received well by the city, non-competing, easy to finance and profitable.

Project:

13-story new construction building on the SE corner of Church Street and S. Eola DR. Ground Floor:6,000 SF retail with a signature restaurant, coffee shop like Fox Tail and a Grab and Go with prepared foods, snacks, specialty drinks and shakes. Rents should be in the $33-$36 SF plus CAM.

Micro Apartments that the city sees as more affordable housing that they are desperately looking for. Micro Apartment would be around 350/550 avg. 400+/- SF. These units would attract young working people and students in the downtown market area who want to live alone, VERY HIGH DEMAND. In addition will be adding some small one bed room units around 550+ SF (15-20). The Miro unit would offer a lot of built ins like all appliances, large screen TV, built in dresser, some with pull-down Murphy Beds (no mattress, provided by tenant), EASY MOVE IN). The Shared Tenant Service space will be a magnet to the Micro tenants. A 400 SF Micro would rent for around $1,450 per month. The city is now Focused on affordable housing in the downtown, and will eagerly support the micro concept.

These units will have lavish furniture, granite counter tops, stainless appliances and washer and dryers. The units are designed with space saving features including pull-down beds, or futons, tables and desks that fold, and appliances that are hidden or very small.