Urban Investment, Lubert-Adler JV Buys Another Adams Morgan Apartment Building
- Apr 07, 2015
A joint venture of Urban Investment Partners and Philadelphia-based Lubert-Adler Partners has purchased another apartment building in Washington, D.C.’s Adams Morgan neighborhood. The newest addition to the joint venture’s portfolio is called Embassy Towers. It was purchased for $13.3 million.
Embassy Towers was constructed in 1932. The 72-unit apartment building, located at 1620 Fuller St., N.W., stands across the street from the historic former Italian embassy building. The joint venture purchased the property from a private family consortium, which had owned it for decades. Alan Davis and Brendan Flood of HFF represented the seller in the transaction.
In a news release, UIP said that it had reached an agreement with the Embassy Towers Tenant Association, before buying the building, allowing it to start work on the renovation of the common areas and individual apartments. Work valued at $8 million is expected to begin before the end of the year, including the installation of new individual heating and cooling systems, electrical upgrades, elevator renovations, renovated common areas, exterior improvements and more.
The building’s tenants must also decide if they want to convert their apartments to condominiums or keep them as rentals. If a minimum number of tenants agree to buy their renovated apartments as condos, UIP will go forward with a conversion project, with sales starting in late 2016.
Embassy Towers isn’t the joint venture’s first acquisition in Adams Morgan. In 2012, it purchased the 114-unit apartment building at 1841 Columbia Road, N.W., for $26 million. That building also underwent a renovation project, worth $7.5 million.
Photo credit: Urban Investment Partners