Source: Transwestern Mid-Atlantic Multifamily Group / #Apartments #Multifamily
BETHESDA, MD - Transwestern's Bethesda, Md.-based Mid-Atlantic Multifamily Group announced it arranged the sale of Virginia Village, a 344-unit garden-style "value-add" apartment community located inside the Capital Beltway along the Interstate 395 corridor in Alexandria, Va. Virginia Village was purchased for $68 million ($197,674 per unit) by Fieldstone Properties. Transwestern's Mid-Atlantic Multifamily Group, led by Co-Directors Dean Sigmon and Robin Williams, represented the seller, Home Properties, Inc.
"The property garnered tremendous investor interest by both private and institutional capital with investment strategies of elevating in-unit interiors," said Sigmon.
Virginia Village consists of 25 residential three-and four-story garden-style walk-up buildings and offers above average sized floor plans of 1,005 square feet. The amenity package includes a new clubhouse with leasing center and fitness center, a swimming pool with sundeck, a playground, an outdoor barbeque grill and picnic area, and an on-site MetroBus stop.
According to the Third Quarter 2013 Washington Area Apartment Report published by Transwestern's research affiliate, Delta Associates, the Washington Metro area continues to be one of the best apartment markets in the nation with an average stabilized vacancy rate of 4.1 percent, compared to 4.3 percent nationally. Surging absorption in the Washington area holds vacancy steady and despite increased competition, long-term prospects remain extremely bright. The development pipeline has plateaued in the Washington area and is expected to shrink by the end of 2013 as the region moves through the current development cycle. Despite the downward pressure on rents, Delta Associates projects that rental rates will recover to the long-term average growth rate of 4.4 percent by 2016. The increased supply of newer Class A apartments creates further opportunities to renovate existing Class B apartment communities in submarkets with the greatest spread in rents between Class A and Class B.