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Cortland sells West Palm Beach rental complex for $208M
The 812-unit Portofino Place Apartments trade equates to about $256,200 per unit and was financed with more than $178 million in Freddie Mac backed loans due September 2033.
Cortland has sold Portofino Place Apartments, a garden-style multifamily rental complex in West Palm Beach, Florida, for $208 million, according to Commercial Observer, citing property records. The transaction involves Fairfield Residential acquiring the 812-unit asset, which sits on nearly 40 acres at 4400 and 4600 Portofino Way between North Military Trail and Interstate 95. The deal is positioned among South Florida’s largest multifamily sales this year, though it reflects a discount for Cortland, the Atlanta-based seller.
Commercial Observer reports the sale price works out to about $256,200 per apartment and was executed through two deeds. One deed covered 416 units built in 2003 for $108 million, and the other covered the remaining 396 apartments built in 2006 for $100 million.
The buyer also assumed just over $178 million in financing through two loans backed by Freddie Mac, with outstanding debt of $93.1 million and $85 million. Both loans are scheduled to mature in September 2033, and Commercial Observer notes Cortland paid a combined $229 million for the property in 2021, when rents were rising during the pandemic, implying a nearly $20 million loss tied in part to slower rent growth since then.