Equity Residential Sells Metro DC Asset for $49M
The 162-unit property previously traded more than a decade ago.
The FORTIS Cos. has paid $48.5 million for Marlowe Apartments, a 162-unit community in Arlington, Va., public records show. Equity Residential was the previous owner, according to Yardi Matrix information.
Berkadia brokered the transaction on behalf of the seller and arranged $40.6 million in acquisition financing for the buyer.
The community previously traded in March 2013 in a portfolio transaction, a deal in which Equity Residential and AvalonBay Communities acquired 137 properties from Archstone, Yardi Matrix data shows. The Equity Residential portion comprised a 73-property collection, valued at $9.1 billion.
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The 17-story building came online in 1987 and comprises one- and two-bedroom layouts ranging from 661 to 1,044 square feet, as well as some 4,000 square feet of retail space. Apartments feature washers and dryers, as well as private balconies or patios in select floorplans.
Common-area amenities at the 1-acre property include a fitness center, swimming pool, clubhouse, business center and game and theater room. The high-rise also has a dog park and a barbecue and picnic area.
The transit-oriented community is at 400 15th St. S., close to the Pentagon City Metro Station and the Fashion Centre at Pentagon City shopping mall. Ronald Reagan Washington National Airport is 1 mile away, while downtown Washington, D.C., is some 4 miles north.
Berkadia Senior Managing Director Patrick McGlohn, Managing Director Brian Gould, Senior Director Miles Drinkwalter and Associate Pat Cunningham arranged the financing on behalf of the buyer. Additionally, Senior Managing Director Brian Crivella and Senior Directors Yalda Ghamarian and Bill Gribbin worked on behalf of Equity Residential.
Slower investment activity in D.C.
The Washington, D.C., metro saw 1,720 units trade year-to-date through April for a total of $371.5 million, according to Yardi Matrix information. This marks a slight decrease from the 1,670 apartments that changed hands during the same period last year for $422 million. Additionally, the average price per unit dropped year-over-year from $266,215 to $215,505.
Last month, CIM Group sold Mason at Van Dorn, a 1,180-unit community in Alexandria, Va. Shoreham Capital and Bridge Investment Group acquired the asset using funds from a $157 million Fannie Mae loan.
Other notable deals in the area include Corner Lot Advisors’ purchase of Eighty Two Hundred, a 245-unit property in Bethesda, Md. The company paid $63.3 million for the 15-story building.
