2601 NW 207 Street, Miami Gardens, FL
Completion Date: 2012
Net Rentable Area: 389,445 S.F.
Number of Buildings: 24
Asset Type: Multifamily
Crystal Lake Apartments is a 491-unit multifamily property located in Miami Gardens, Florida. The property sits on a 33-acre site with a central lake. It was originally built in 1973 and was completely redeveloped by Ytech throughout 2013 and 2015.
Ytech identified the untapped potential of this site due to its privileged location on the border of Miami-Dade County and Broward County. Its proximity to major employment centers like the Hard Rock Stadium, Calder Casino, North Perry Airport and Broward Community College attracts a qualified pool of tenants from both counties. In addition, the submarket has strong economic fundamentals and a historical occupancy of more than 97 percent.
The property consists of 24 buildings, containing 375 small and large one bedroom/one bath units, 84 two bedroom/two bath units and 32 three bedroom/three bath units. The units total 330,473 of rentable square feet, with an average unit size of 673 square feet. From January 2013 through October 2015, Ytech spent more than $20 million completely rebuilding and redeveloping the property. All units have been fully upgraded, including new tile flooring, kitchen cabinetry, countertops, central air conditioning units, water heaters, bathroom vanities and appliances. In addition, the property features parks, children’s playgrounds, open and green spaces, barbecue settings facing the lake, two laundry facilities, a pool area and an updated leasing office.
Ytech acquired this property in November 2012 through a consolidated relationship with an institutional hedge fund. An acquisition loan was secured and additional financing was provided after a sizeable portion of the property was redeveloped. Upon achieving stabilized occupancy in October 2015, Ytech refinanced the asset with a commercial mortgage backed securities (CMBS) loan.
At the time of purchase, the property had an economic occupancy of less than 3 percent with high outstanding collectibles. More than 480 apartments were unlivable and in need of major redevelopment. Since the project’s acquisition, Ytech’s construction management team collaborated with the City of Miami Gardens to obtain construction permits and correct outstanding violations. The company has worked hand-in-hand with city officials and was able to help transform the surrounding neighborhood. Ytech’s efforts generated an economic impact in the area of approximately $100 million. Crystal Lakes Apartments currently provides safe housing for more than 3,000 residents in Miami Gardens.
Currently, the property is stabilized and boasts a 95 percent occupancy with a qualified tenant pool. After completely redeveloping Crystal Lakes Apartments and rebuilding the property’s rent roll, Ytech not only helped transform and stabilize the neighborhood but has also managed to increase the project’s yearly net operating income (NOI) from negative $2 million to more than $3.9 million.