Atlanta developer pursuing $45M second phase of NoHo flats apartments in North Hyde Park
By Ashley Gurbal Kritzer
Tampa Bay Business Journal
Published: Jan 2, 2015

An Atlanta developer is planning to build 275 new apartments in Tampa's North Hyde Park.

Pollack Shores Real Estate Group is moving forward with the second phase of NoHo Flats, said Anthony Everett, Central Florida director for Pollack Shores, with plans to break ground in April or May. The yet-unnamed community will be built in the three-acre parcel across North Rome Avenue from NoHo Flats, a 311-unit apartment building that was completed in summer 2014.

The site is entitled for 296 units in up to seven stories, but Pollack Shores is seeking a substantial change approval from the city to lower the number of units. The complex will be four stories wrapped around a parking garage and include a fitness center. There will be two courtyards, one of which will include a pool and recreation area.

There will be 197 one-bedroom units, 70 two-bedroom units and eight three-bedroom units. The average unit size will be 850 square feet and rent for $1,360 per month.

Construction costs will be around $45 million, Everett said. He said the group is in talks with several different equity partners and as well as Fifth Third Bank and Regions Bank for a construction loan, though those deals are yet to be finalized.

NoHo Flats sold for $57.25 million or $184,084 per unit in September, shortly after construction wrapped up. A turnaround that quick and profitable makes the second phase that much more appealing for developers and investors.

Building a four-story building is significantly cheaper than building a seven-story one, which will allow the group to charge rents far below the high rises planned in and around downtown Tampa. Everett said he's projecting rents of $1.60 per square foot. Most high rise projects need rents of $2.30 per square foot to be profitable.

"I'm trying to be conservative and plan that if we do get into a market where we have oversupply, I'd like to make sure we have the lowest rents," Everett said.

Ashley Gurbal Kritzer is a reporter for the Tampa Bay Business Journal.