Blackfin, GMF Capital Sell Virginia Community for $99M
The sale marks a record for its market.
A joint venture between Blackfin Real Estate Investors and GMF Capital has sold its 600-unit community in the tightening Hampton Roads market of Virginia. The joint venture partners sold Coastline Apartments in Virginia Beach, Va., for $98.5 million to an undisclosed buyer. NorthMarq’s Wink Ewing, Mike Marshall, Matt Straughan and Jared Alcorn represented the seller.
According to Yardi Matrix data, Blackfin acquired Coastline Apartments in March 2019 for nearly $50.8 million from Municipal Capital Appreciation Partners. The Class B garden-style community was built in 1970 and saw its most recent renovations in 2019. Now, the units offer remodeled kitchens, washer and dryer units, walk-in closets, and a balcony or patio. The units are located throughout 75 buildings in one-, two- and three-bedroom floorplans that range in size from 875 to 1,321 square feet. Residents also get access to the community’s pool, dog park, clubroom and several playgrounds.
Located at 631 Lake Edward Drive, Coastline Apartments has nearby access to Interstates 64 and 264. The community’s location near highways and public transportation also connects residents to the cities of Virginia Beach and Norfolk, Norfolk International Airport and several universities.
HAMPTON ROADS GROWING MOMENTUM
Marshall said in prepared remarks that the $98.5 million sale of Coastline Apartments was the largest single asset multifamily transaction ever in Virginia’s Hampton Roads market. Doug Root, co-founder & managing partner of Blackfin, said in a prepared statement, that the buyer will likely continue to benefit from the momentum of the Hampton Roads market.
Marshall also said in prepared remarks that the sale was a sign of the region’s increased demand for multifamily properties. In June, the Hampton Roads market also saw the start of construction on a 520-unit mixed-income community in Newport News, Va. According to Northmarq’s second quarter report, the Hampton Roads multifamily market saw a tightening vacancy rate, leading to rents rising nearly 11 percent year-over-year and increasing per-unit sales prices.