Alexandria’s Virginia Village Sold for $68M
- Oct 27, 2013
Another apartment community in the Washington Metro area, one of the best apartment markets in the nation, has changed hands in a multimillion-dollar deal. Fieldstone Properties has paid $68 million for Virginia Village, in Alexandria, Va.
Virginia Village is a garden-style, “value-add” apartment community, constructed in 1968. The property is very well located, inside the Capital Beltway, along the Interstate 395 corridor. It offers 344 apartments in 25 residential three- and four-story garden-style walk-up buildings. Units range between 800 and 1,520 square feet, with rents between $1,205 and $1,927 per month. Community amenities include a new clubhouse with leasing center and fitness center, a swimming pool with sundeck, a playground, an outdoor barbecue grill and picnic area, and an on-site MetroBus stop.
Transwestern’s Bethesda-based Mid-Atlantic Multifamily Group arranged the sale. Co-Directors Dean Sigmon and Robin Williams represented the seller, Home Properties Inc. “The property garnered tremendous investor interest by both private and institutional capital with investment strategies of elevating in-unit interiors,” Dean Sigmon said in a statement for the press.
Fieldstone Properties paid $197,674 per unit. According to a report by Marcus & Millichap, properties sold in the Greater Washington area over the past 12 months carried a median price of $151,300 per unit, higher than the $101,500 per unit median price the year before.
With completions slightly exceeding net absorption, apartment vacancy in Virginia climbed to 4.4 percent in the first half of 2013. In that same period, vacancy over the entire D.C. metro area dropped to 4.6 percent, but Marcus & Millichap expects it to rise to 5 percent by the end of the year, as completions will outpace demand. In spite of this, rents are expected to increase 2.6 percent this year, reaching $1,559 per month.Photo credits: Transwestern Charts courtesy of Marcus & Millichap