Orlando-based Parkway Property Investments to build apartments in Baldwin Park

Orlando-based Parkway Property Investments to build apartments in Baldwin Park

The owner of an office building in Baldwin Park is seeking approval to build a large apartment complex on the parking lot.

Catherine Felter is an engineer at the Orlando office Kimley-Horn. She submitted the request on behalf of Parkway Property Investments LLC, a subsidiary of Baldwin Point Office LLC, based in Orlando, for a master plan for 305-unit, five-story multifamily building with auxiliary parking garage located at 2420 Lakemont Ave.

The request seeks also to reclassify property as "office", meaning attached housing, or "office", and convert existing approvals of 199.318 square foot office space into 305 apartments.

What it means: The construction of the Baldwin Point apartment complex, which has 305 units and five stories, could cost around $76.25m, according to industry standards. It would also create opportunities for local vendors and contractors. The project would also add to the housing stock in the area, and the owner's desire to convert the property to multifamily fits in with the growing trend of the metro Orlando region.

Parkway executives and Felter were not available to comment immediately.

Parkway has a focus on office buildings, but it also owns industrial properties. It is currently the developer of Skyline at Westfall Station, an apartment complex under construction in Clermont.

Orlando announced also on May 10, that it had entered into an arrangement with Houston-based Midway Holdings LP in order to form a fully diversified, real estate management, investment and operations firm.

Plans for the Baldwin Point development submitted to Orlando's Development Review Committee reveal an apartment complex with three courtyards, and an attached parking lot on the north side. The materials submitted indicate that the parking garage is intended to serve both the apartment building and the office.

According to Orange County records, Parkway purchased the building for $35.5 million in 2021 from AG-APG Baldwin Point Property Owner LLC, an entity related to New York-based Angelo, Gordon & Co. LP. Parkway purchased the building in 2021 for $35.5million from AG-APG Baldwin Point Property Owner LLC, a company related to New York's Angelo, Gordon & Co. LP, Orange County records show.

Travelers Insurance and other tenants are housed in the building.

This property is located in East Orlando, near the Orlando VA Medical Center Lakemont Campus as well as Blue Jacket Park.

The property's evolution to include apartments is happening at a time where office-to apartment conversions have become a hot topic in commercial real estate, thanks to the poor outlook for certain office properties. More property owners are also evaluating large surface parking areas as potential apartments.

Real estate powerhouse, for example, is largely based on the parking areas on the north-facing side of the property.

Joe LaFleur is a multifamily advisor for 100 Units in Orlando, but he's not involved with these plans.

LaFleur, Orlando Business Journal: "Apartments will continue to be the best and highest use of land for as long as people move to Central Florida. I don't think that is going to change anytime soon."

CoStar Group data indicates that a record number -- 11,100 -- of new apartments will be delivered in 2023. This is about 20% more than the number of apartments delivered in 2018 when Orlando experienced its second fastest pace of growth. Nearly 8,800 new apartments were added.

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