ROCKVILLE, MD - An affiliate of The Milestone Group acquired The Villages at Decoverly, a 564-unit garden-style apartment community located in Rockville, MD, through a recapitalization of the controlling equity interest in the property. The purchase price was not disclosed. The Seller was a foreign investment firm.
According to Jason Wise, Milestone’s Vice President of Acquisitions, Decoverly represents a tremendous value-add opportunity. “In a marketplace where there is substantial demand for modern, up-to-date finishes and amenities, our comprehensive renovation plan will allow us to tap into the upside potential that this property has to offer and will position the property to be more competitive in the market.”
Decoverly is a 564-unit suburban garden style apartment community located at 9901 Gable Ridge Terrace, approximately 35 minutes from Washington, D.C. Decoverly was developed in stages, in 1991 and 2006. The community features a variety of one, two- and three-bedroom floorplans and common area amenities including two pools, two fitness centers, tennis courts, an outdoor grilling and entertainment area and a children’s play area. Each unit in the property offers a patio or balcony.
Decoverly is located in Montgomery County, one of the preeminent biotech and IT corridors in the country. The mix of private and public sector employers includes 19 federal agencies and 32,000 businesses. Also nearby is 1 million square feet of commercial and retail space, parks and recreation and dining. This location provides convenient accessibility to Interstates 495 and 270.
Wise expects that Milestone will continue to pursue asset recapitalizations as part of its investment strategy. “We have been successful in helping sellers solve issues or impediments to a sale. Milestone has a history of creatively structuring transactions to meet the goals of sellers, including the assumption of existing debt or the acquisition of an entity interest.”
“Milestone is being selective and strategic in its pursuit of acquisitions and recapitalizations, focusing on markets with established employment and population growth trends, and identifying properties that have robust occupancies, strong rent collections and diversified employment bases,” Wise said.
The JLL Capital Markets team representing the seller was led by Steve Collins, Walter Coker, Brian Crivella and Robert Jenkins.