LCOR Secures $135M Refi for Virginia Community

The property is located across from Amazon’s HQ2 development in the Crystal City neighborhood of Arlington.
Altaire. Image courtesy of JLL

LCOR has received a $135 million refinance loan for Altaire, its apartment community in Arlington, Va., located across the street from Amazon’s HQ2 development.

JLL’s Jamie Leachman and Paul Spellman arranged the five-year-floating-rate loan for LCOR. The new loan from an undisclosed lender replaces a previous construction loan provided by Wells Fargo Bank from December 2015, according to Yardi Matrix data.

The 451-unit Altaire offers studios, one- and two-bedroom floorplans that range in size from 540 to 1,295 square feet. All the units were built with keyless entry while some units feature double vanities and stand-alone showers in the bathrooms. The community’s amenities include a sky lounge, rooftop terrace, fitness center, courtyard, swimming pool, game room, penthouse lounge, pet washing area and fire pits and grilling areas. The LEED Gold-certified community is 83.1 percent occupied, according to Yardi Matrix data.

Located at 400 Army Navy Drive, Altaire is across the street from the upcoming Amazon HQ2 development and a short drive to Reagan National Airport. Leachman said in prepared remarks that the opportunity to finance Altaire garnered multiple offers from a variety of lending sources.

AMAZON BRINGS ANTICIPATED DEMAND

Following Amazon’s announcement of its HQ2 development in 2018, the surrounding area has attracted the attention of developers and lenders alike. In July 2020, two communities in the National Landing submarket that the HQ2 development will be located in, alongside a third property in the Ballpark submarket, landed $385 million in financing.

To meet the expected increase in housing demand, Amazon also committed $2 billion to an affordable housing fund in January. The fund is expected to invest capital towards projects that create or preserve affordable housing in Arlington, Nashville, Tenn. and the Puget Sound region in Washington state where Amazon is located.