Joint Venture Buys Alexandria Residential Portfolio for $125.5M
- Jul 06, 2012
The Praedium Group, a privately held real estate investment firm based in New York, has formed a joint venture with The Milestone Group, a Dallas-based multifamily real estate investment and management company, to buy the Alexandria Portfolio, a 556-unit multifamily portfolio in Alexandria, Va. The unknown seller was represented by Randal Howard of Moran & Co.
Christopher Hughes, principal of The Praedium Group & head of acquisitions in the Northeast region, stated in a press release that “this is an attractive acquisition for us, given the portfolio’s location in one of the strongest submarkets in the country, with a diverse job base and exceptional growth potential.”
The joint venture paid $125.5 million to acquire the portfolio. It consists of two apartment complexes, Edgeware Lane and Palladium Court. They are both located near the Kingstowne Village Parkway, 14 miles outside Washington, D.C., and within three miles of the Franconia-Springfield and Van Dorn Metro stations. They are also near several major interstates, including I-495, I-95 and I-395.
Edgeware Lane is a 424-unit complex comprising 16 buildings. Palladium Court comprises 132 units in five buildings. Almost half of the one- and two-bedroom units have undergone interior renovations, including upgrades to their kitchens and living areas. Many feature bonus spaces like dens, lofts and sunrooms. Edgeware Lane and Palladium Court also include clubhouses and outdoor pools.
The Alexandra portfolio is located in one of Washington, D.C.’s most desirable suburbs, a heavily populated area and a major hub for economic activity, with a diverse job base, rapidly growing technology and international business sectors and an unemployment rate well below the national average at 4.2 percent. The portfolio is also located within the jurisdiction of the Kingstowne Residential Owners Corporation. Residents thus have access to three community centers, two fitness centers and two outdoor pools. They are also near Kingstowne Towne Center, a 230,000-square-foot mixed-use shopping center with large anchor retailers, a movie theater and restaurant chains.
“We are pleased to be partnering with Praedium on this exciting transaction and to continue to expand the Milestone footprint in the mid-Atlantic region,” said Rob Landin, managing partner of The Milestone Group.
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Satellite image of Palladium Court courtesy of Google Maps.