Tellus Partners, along with its partner, Varden Capital, have identified an outstanding multifamily project in Fort Myers, FL. The first phase of the project will consist of 448 units, with the overall master project consisting of 1,304 units. The Sponsorship team believes this is an excellent opportunity to capitalize on developing a premier Class-A property in one of the hottest submarkets in the Southeast.
The partnership views this as an excellent opportunity to deliver a market rate apartment community in an area that is primed for rapid growth. The site is in an ideal location in Fort Myers and is situated to immediately enter the top of a Lee County market with an economy growing at a lightning-fast pace. With several restaurants/bars in the area and Fort Myers Beach just minutes away, this site will benefit from both its location within the city as well as a market that has recently seen an increase in upscale multifamily development.
Asking rents in Fort Myers have surged at an unprecedented rate in 2021 due in large part to the tight housing sector. Both the average asking rental rate and the annual growth rate reached a record high in the third quarter of 2021. Over the past 5 years rents have risen from $1.19/SF to +$1.70/SF. The sponsorship team believes that here is room for further rental rate growth as the residential demand in Florida continues upon it’s current trajectory.