Skanska Sells DC Project to Northwestern Mutual
- Jun 21, 2019
Swedish construction giant Skanska has sold its first residential project in Washington, D.C. to Northwestern Mutual. RESA, a 326-unit luxury apartment community in the NoMa neighborhood, sold for approximately $141 million. An HFF team of Walter Coker and Brian Crivella of HFF represented Skanska in the deal.
Skanska broke ground on the 12-story community in 2016 as part of the firm’s mixed-use development Tyber Place. Once completed, the three-building live-work-play complex will include 585,000 square feet of office space and 30,000 square feet of restaurants and retail and will be connected by a pedestrian walkway dubbed the NoMa meander. Interiors at the building are being designed by Space Copenhagen in a Nordic-inspired style. Last March, Skanska topped out construction at the residential component.
Located at 22 M St. N.E., RESA—the Swedish word for journey—will boast 10,000 square feet of resident amenities. Included in the offerings are a rooftop terrace and more than 7,000 square feet of restaurants and retail including The King St. Oyster Bar. The building is located nearby Union Market, a gourmet food hall, as well as a variety of shopping and dining options. The Washington Union Station, 11 Metrobus lines, two D.C. Circulator lines and eight Capital Bikeshare locations are situated close to the development.
FULL STEAM AHEAD
The Washington, D.C., multifamily market sales volume hit a peak last year, with $6 billion properties sold and 11,277 units that came online, according to a recent Yardi Matrix report. In 2019, more than 12,000 units are expected to come online. Earlier this month, Washington Property Company completed Solaire 8250 Georgia Ave., a 338-unit luxury community in Silver Spring, Md., a D.C. suburb.
“Tenants today are looking for a live-work-play ecosystem, Skanska’s Mark Carroll told Multi-Housing News. “With RESA, we have taken what we know from our successful multifamily developments in our other markets to provide a fresh perspective and a different kind of urban apartment.”
Carroll added that in markets like D.C. where urban housing is in high demand, investors “see the value” in owning long-term assets like RESA.