Property Overview: Magnolia Lofts is a two building, three story office portfolio located in the North Magnolia corridor of Orlando's Central Business District. The existing property is 100% leased to a diverse tenant roster, though the 1.56 acre site is entitled for the development of up to 600 multifamily units with density bonuses.
Investment Overview: Acram Group believes the Orlando market is experiencing outsized growth due to relatively inexpensive cost of living, an increasing population of young and educated professionals, and prolonged interest from large corporations to establish a central Florida presence. Acram began researching the market in mid-2020 and was presented the off-market opportunity to acquire Magnolia Lofts through a local operator with no plan to develop the asset. During initial diligence Acram identified several strengths to the deal, including the ease of access, ideal central location in the path of growth between downtown and the prominent suburbs, and the ongoing development in the immediate neighborhood (including the Advent Health Campus and the Holocaust Museum). Acram quickly saw the additional value in the development strategy and successfully negotiated to assume the purchase contract from the local operator with plans to cash flow the existing office property until breaking ground on a 400 unit, class-A high rise.
26,775 sf existing office