RICHMOND, VA - StoneBridge Investments of Washington, DC has acquired Copper Spring, a 366-unit apartment community in the prestigious West End submarket of Richmond, VA, for $54.2 million. The seller, an affiliate of Clarion Partners, was represented by Eastdil Secured.
Built in 1989 and extensively renovated in 2006, Copper Spring is located at 3301 Copper Mill Trace, just outside the Richmond city limits in Henrico County. With its close proximity to I-64 and West Broad Street, the community offers quick access to employment centers as well as shopping and entertainment options such as the 1.2 million square foot Short Pump Town Center.
The property comprises 23 two- and three-story garden-style apartment buildings in a luxurious 30-acre wooded suburban setting. An unused 1.25-acre parcel on the site could be developed with additional residential density or amenities. Current rental rates offer a discount of about $500 per unit compared with newer multifamily communities in the submarket.
Copper Spring is StoneBridge’s first acquisition in Richmond, following its recent acquisitions of two apartment communities totaling 500 units in Atlanta’s Perimeter Center submarket. The new ownership plans to undertake strategic upgrades to the clubhouse and other amenities, as well as some of the residences.
“We were initially attracted to Copper Springs due to its proximity to large employment centers, strong historical operating performance, and legacy of high-quality institutional ownership,” said William Bateman, Director, StoneBridge Investments. “We also believe that, given the open unit layouts and best-in-class amenity package, Copper Springs is poised to capture additional revenue gains through strategic unit and amenity renovations going forward.”
“We are very bullish on Richmond’s fundamentals, and think its long-term prospects are strong,” added Kees Bruggen, Managing Director, StoneBridge Investments. “Led by a strong white-collar employment base, in combination with reasonable living costs, short commuting times, and extensive cultural amenities, Richmond continues to be an attractive live-work-play destination. We intend to remain active in the Richmond market for the foreseeable future.”
Copper Spring residents enjoy extensive onsite amenities including two resort-style swimming pools and renovated clubhouse with indoor and outdoor wi-fi, 24-hour fitness center, business center, lighted tennis court, racquetball court, grilling stations, gaming area with shuffleboard, playground, lounge area, and coffee bar. Individual apartment homes feature wood-burning fireplaces, balconies or patios, walk-in closets, exterior storage, separate dining rooms, and ensuite washers and dryers. Select apartments have vaulted ceilings, Palladian windows, and built-in bookshelves.
The Richmond metropolitan area has attracted both multinational and local corporate employers with its highly educated population, low cost of doing business, and strategic location at the mid-point of the East Coast. A state capital that is just two hours from Washington, DC, Richmond offers stable Federal and state government jobs that employ about 17 percent of the total metro area workforce. Innsbrook Corporate Center, just three miles from Copper Spring, has some 400 business tenants including Capital One, the area’s largest private employer with over 20,000 employees. Richmond serves as corporate headquarters to eight Fortune 500 companies and 11 Fortune 1,000 companies, and is home to one of the 12 Federal Reserve Banks and one of the 13 appellate courts in the US.