Newspaper article The Florida Times Union

Could Berkman Plaza II Make It as Apartments? Views Vary If Enough Renters Would Be Interested in Living There

Newspaper article The Florida Times Union

Could Berkman Plaza II Make It as Apartments? Views Vary If Enough Renters Would Be Interested in Living There

Article excerpt

Byline: Roger Bull

The saga of Berkman Plaza II is moving into its next phase. The half-finished downtown tower is now owned by the construction company that built what there is of it.

But Choate Construction of Atlanta is trying to sell it, and from what COO Mike Hampton has heard so far, the interest is in finishing it as apartments, not the condos that were originally planned.

"Everyone who is calling is talking about rentals," Hampton said.

But what are the prospects for an 18-story apartment building downtown on the river?

"We've gotten a lot of inquiries on it," said Brian Moulder, who specializes in multifamily properties for CBRE commercial real estate brokers. "It's a great project. There's not many waterfront opportunities like this in the Southeast. The infrastructure has been checked out by numerous engineers. It's solid concrete.

"I think the everyone agrees the highest and best use is apartments."

Moulder brokered the $53.3 million sale last year of The Strand, a 28-story apartment building on the Southbank. And though the Miami buyer, Crescent Heights, is well known for converting apartments to condos, Moulder said The Strand will stay as apartments.

"It's just not the time for condos," he said.

Choate won a $10.2 million judgment in its suit against the developer, but Hampton said he doesn't expect to get that much when it sells.

But he pointed out that it could be purchased and completed for less than building a similar tower from scratch.

Alex Coley, principle with NAI Hallmark Partners, is seeing two sides of multifamily construction at the moment. 220 Riverside, a 294-unit apartment complex near downtown, is nearing completion.

A little farther out, work has just begun on Beach Riverside, a 16-story condo tower on the river.

Coley said different construction methods used in apartments like he's building at 220 Riverside and a tower like Berkman dictate different rental rates.

The seven-story 220 building, which falls into the mid-rise category, can be rented for about $1. …

Search by... Author
Show... All Results Primary Sources Peer-reviewed

Oops!

An unknown error has occurred. Please click the button below to reload the page. If the problem persists, please try again in a little while.