Richmond, Va.—Capital Square 1031 and Kay Properties & Investments have acquired Maple Springs Apartments, a 268-unit community located in the West End district of Richmond, Va., for an unspecified price. The property was about 95 percent occupied at the time of acquisition.
Maple Springs Apartments comprises 23 two-story residential buildings and a clubhouse on 18.5 acres. Located at 5624 Maple Run Lane, the community features a mix of studio apartments and one- and two-bedroom units ranging in size from 434 square feet to 864 square feet. The property also includes 425 parking spaces.
Common amenities include a clubhouse with Wi-Fi, a fitness center, lounge, coffee bar and tanning salon. The property also features a two-tiered swimming pool with a waterfall and hot tub, tennis and volleyball courts, a grill/picnic area, walking/biking trails and a dog park. Interior unit amenities include washer/dryer walk-in closets, ceiling fans and fireplaces with mantles. Second-floor units also feature vaulted ceilings.
Metro Richmond has a strong apartment market. According to Cushman & Wakefield, overall market vacancy was 4.4 percent at the end of 3Q 2016, a slight increase from a year ago. During the first three quarters of the year, nearly 1,400 units have been absorbed in the Richmond area, compared with new deliveries of 1,092 units during the same period. Rents were up 2.1 percent compared with 3Q 2015.
The outlook is also good. “Multifamily fundamentals remain strong throughout the Richmond MSA, buoyed by economic and population growth,” noted the most recent Cushman & Wakefield report on the market. “Rent growth will continue across the market as vacancy remains low. Investors continue to look at opportunities in secondary and tertiary markets to find yield in a cap rate compressed environment.”