Hollywood Square & The Islander

Joseph Thomas, Alec Demetriou and the Thomas-Team of Marcus & Millichap, as exclusive listing agents, are pleased to offer for sale the Hollywood Square and Islander Apartments, consisting of 197-units situated on 7.33 acres in Hollywood, Florida.  The properties are located at 5500-5550 Washington Street and 5515 Plunkett Street; south of Hollywood Boulevard, north of Pembroke Road and just east of State Road 7 (US-441).    

VALUE ADD OPPORTUNITY

Hollywood Square and Islander Apartments have been well maintained by current ownership, yet multiple value add and exit strategies exist for an incoming investor.  The properties consist of (49%) two bedroom and (8%) three-bedroom apartments at an average of 839 square feet.  However, average in-place rents are only $1,584 per month and $1.89 per square foot, which are well below market.  Additionally, the Islander Apartments has development rights to build a second phase with an additional 22 units that were previously permitted with full architectural and engineering plans.  A third phase may also be possible (contact the listing agent for more details).  As the properties are separate folios, an investor could also consider selling the Islander Apartments in order to lower its remaining cost basis in Hollywood Square.

SUBJECT PROPERTIES

Hollywood Square Apartments consists of 174 units across three folio numbers located at 5500, 5540 and 5550 Washington Street.  The properties were built in 1968 and 1973 with concrete block and stucco, flat roofs and central air conditioning.  The buildings contain 143,384 adjusted square feet, while the lot size is 3.83 acres, according to the Broward County Property Appraiser.  The property features an average unit size of 774 square feet with a mix of (85) one-bedroom | one-bathrooms, (12) two-bedroom | one-and-a-half bathrooms, (76) two-bedroom | two-bathrooms and (1) three-bedroom | two-bathroom apartment.  Hollywood Square also features a leasing office, fitness center and eight laundry rooms (two per building).  Tenants pay their own electricity and reimburse for water through RUBS, while trash is included in the rent.

The Islander Apartments consists of 23 operating units (22 legal-conforming*) located at 5515 Plunkett Street.  The property was built in 2008 with concrete block and stucco, metal roofs and central air conditioning.  The buildings contain 31,103 adjusted square feet, while the lot size is 3.5 acres, according to the Broward County Property Appraiser.  The property features an average unit size of 1,328 square feet with a mix of (3) two-bedroom | two-bathrooms, (6) two-bedroom | two-bathrooms with dens and (14) three-bedroom | two-bathrooms.  Tenants pay their own electricity and reimburse for water through RUBS, while trash is included in the rent.

Capital improvements completed by current ownership include:

• 2017: new roofs on all four Hollywood Square buildings (all flat roofs were redone with TPO membrane, mansards re-roofed with standing seam aluminum panels, air conditioning units replaced and brought to code and gutters were replaced), new mailboxes were installed
• 2018: the 40-year recertification was completed, new railings and decorative glass façade were installed on the 5540 and 5550 buildings, the properties were painted, new dumpster enclosures and gates were added, new laundry equipment was installed
• 2019: a comprehensive video surveillance system was installed, all exterior lighting was updated
• 2021: all parking areas and curbing were re-paved and re-poured

LOCATION

The Hollywood Square and Islander Apartments are proximate to numerous employment centers, retailers and hospitals, such as State Road 7 (US-441) (0.5 miles), ALDI (0.5 miles), Walmart Supercenter (1 mile), The Home Depot (1 mile), Memorial Regional Hospital South (1.1 miles), Florida’s Turnpike (1.4 miles), Presidential Circle (1.8 miles), Hollywood Police Department (2 miles), Hollywood Hills Plaza (2.2 miles), Memorial Regional Hospital and Joe DiMaggio Children’s Hospital (2.4 miles), multiple Publix Supermarkets (2.5 – 3.8 miles) and Interstate 95 (2.6 miles).  Additional points of interest include Seminole Hard Rock Hotel & Casino (4.1 miles), Young Circle Park (4.2 miles), Memorial Hospital Pembroke (5 miles) Dania Pointe (5.7 miles), HCA Florida Aventura Hospital (5.7 miles), Aventura Mall (6.7 miles) and Fort Lauderdale/Hollywood International Airport (8.6 miles).

Nearby schools include Orange Brook Elementary (0.8 miles), Chaminade-Madonna College Preparatory (1 miles), Pembroke Pines Elementary (2.9 miles) and McNicol Middle and Magnet School (3.0 miles).  Local colleges and universities include Broward College – South Campus (2.9 miles), Florida Atlantic University – Davie Campus (8.2 miles) and Nova Southeastern University (8.5 miles).

SUMMARY

Hollywood Square & Islander Apartments are offered for sale unpriced, to be determined by the market.