GoodHomes Buys DC Hotel, Plans Conversion
The property was originally a multifamily community transformed into a hotel in the 1980s.
GoodHomes Communities has purchased Arlington Court Suites, a 187-key hotel in Arlington, Va., with plans to convert it into a 180-unit residential property. The company paid $35 million to Arlington Hotel Holdings Inc. for the asset, in a transaction brokered by KLNB and HREC Investment Advisors.
The new ownership has already received approval from Arlington County to convert the building. Currently, the hotel’s rooms have studio, one-, two- and three-bedroom layouts.
Originally developed in 1963 as an apartment complex, the nine-story Arlington Court Suites was transformed into an extended-stay hotel during the 1980s. Upon completing this second conversion, the future community will have 38 studios, 102 one-bedroom units and 40 two-bedroom apartments, with floorplans ranging from 516 to 1,198 square feet, according to Yardi Matrix information.
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The property is at 1200 N. Courthouse Road, 4 miles southwest of downtown Washington, D.C. The hotel is near Arlington National Cemetery, as well as several major thoroughfares, including Interstate 66, Arlington Boulevard and Virginia State Route 110.
KLNB Principal Rawles Wilcox, Senior Vice President Justin Shay and Vice President Dutch Seitz, together with HREC Senior Vice President Mark Morris and Senior Principal & COO Scott Stephens, brokered the sale on behalf of the seller.
DC conversion landscape maintains steady rhythm
Though focused mainly on office-to-residential, the conversion landscape in Washington, D.C., is becoming less of an eccentricity and is gradually moving towards normality. Between 2016 and 2024, the metro saw, on average, four such transformation projects be delivered annually, according to a CBRE report.
Recent conversion projects in and around the U.S. capital include Insight Property Group’s redevelopment of Hunter’s Branch from an office campus into a 452-unit community in Fairfax, Va. The ownership sold two vacant office buildings within the campus to Toll Brothers, which plan to demolish them and use the site to develop 76 townhomes.
Similarly, last month a partnership comprising Rockpoint, LCOR and Potomac Investment Properties have made plans to turn two office buildings in Washington, D.C.’s Georgetown neighborhood into a 299-unit residential community. The project is the first to deliver more than 150 apartments at once in the area in the last century.
