WASHINGTON, D.C. – Holliday Fenoglio Fowler, L.P. (HFF) announces the $90 million sale of and acquisition financing for 672 Flats, a 173-unit, newly completed multi-housing community in the Ballston submarket of Arlington, Virginia.
The HFF team marketed the property exclusively on behalf of the seller, a joint venture between The Penrose Group and Clark Enterprises, Inc. The Chevy Chase Land Company purchased the property free and clear of existing debt. In addition, HFF’s debt placement team worked on behalf of the new owner to arrange a 12-year, fixed-rate acquisition loan through USAA Real Estate.
672 Flats is a six-story community located at the convergence of N. Glebe Road, Wilson Boulevard and Interstate 66 in the highly sought-after Rosslyn-Ballston Corridor. Completed earlier this year, the property has earned a WalkScore® of 93 given its proximity to an array of university campuses, restaurants, shopping and entertainment venues, including Ballston Quarter, which will transform the neighborhood into an open-air town center. In addition, 672 Flats is approximately three blocks from the Ballston Metro Station (Orange and Silver lines), which provides access into the Washington, D.C. CBD within five stops and Tysons Corner within three stops.
The LEED Silver, boutique community incorporates multiple green building elements blended with high-end, modern finishes. Units, which range from studio to two-bedroom loft- and flat-style floor plans, feature open layouts with stainless steel appliances and wall-mounted hoods, custom cabinetry, custom pantries with built-in microwaves, fixed and movable kitchen islands, expansive windows, hardwood-style flooring and full-sized washers and dryers. Community amenities include elegantly designed common areas, including a resident lounge with bar; game room with billiards, poker table, shuffle board, air hockey and gaming center; fitness room with cardio, free weights and boxing/kickboxing area; cyber lounge/mail room with computer stations and coffee service; bike storage; and controlled-access garage parking.
The HFF investment advisory team representing the seller included Walter Coker and Brian Crivella.
HFF’s debt placement team representing the new owner included Jamie Leachman, Chris Hew and Nicole Brickhouse.
“This transaction represents another example of the strength of the pre-sale market, not only for buyers, but also for the debt markets willing to purchase and lend on top-quality assets in core locations,” Coker said.
About The Penrose Group: The Penrose Group consists of a family of companies that engage in real estate development and provide strategic property management services. During its 20+ years in business, the company has amassed an impressive portfolio that has included apartments, master-planned communities, commercial offices, industrial and mixed-use developments. Under the direction of founder Mark W. Gregg, The Penrose Group has focused on land acquisition and development in Washington, D.C., and surrounding areas. For more information, visit penrosegroup.com.
About Clark Enterprises, Inc. Clark Enterprises, Inc. (CEI) is a diversified investment company based in Bethesda, Maryland. CEI has been an active real estate investor since its inception in 1972, growing its real estate portfolio to approximately $1 billion of CEI equity value. The CEI portfolio is primarily located in the Washington, D.C. area and includes stabilized assets and development projects across multiple product types, including office, residential and hotel.
About The Chevy Chase Land Company: Since 1890, The Chevy Chase Land Company has owned, managed and developed exceptional office, retail and residential properties throughout the Washington, D.C. region. The firm is committed to continuing its proud tradition of leading the region’s transit-oriented development while taking a collaborative, community-first approach to investing in its local neighborhoods. The Chevy Chase Land Company: Community. Connectivity. Continuity.
About USAA Real Estate: USAA Real Estate, with more than $21 billion in assets under management, provides co-investment, acquisition, build-to-suit and development services for corporate and institutional investors and arranges commercial mortgage loans on behalf of affiliates. The portfolio consists of office, industrial/logistics, multifamily, retail and hospitality properties. USAA Real Estate is a subsidiary of USAA, a leading financial services company, serving military families since 1922.
About HFF: HFF and its affiliates operate out of 26 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform, including debt placement, investment advisory, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing. HFF, HFF Real Estate Limited, HFF Securities L.P. and HFF Securities Limited are owned by HFF, Inc. (NYSE: HF). For more information, please visit hfflp.com or follow HFF on Twitter @HFF.