TODAY’S DEALS: Associated Estates Grabs 250-Unit Community in Virginia
Associated Estates buys a 250-unit Class AA community in Fairfax, Va.; BRE properties acquires a 150-unit community in California for $48.8 million; and ARA brokers the sale of an apartment property at $72,120/unit.
Fairfax, Va.—Associated Estates Realty Corporation has closed on the acquisition of a Class AA apartment community located in Fairfax, Va. The property, renamed Dwell Vienna Metro, is located next to the Vienna Metro Station, where commuters can reach Washington, D.C., within 30 minutes.
“Dwell Vienna Metro fits extremely well with our long term plans to build a meaningful presence in Metro D.C.,” says Jeffrey Friedman, president and chief executive officer at Associated Estates. “This acquisition is part of our continued migration into high growth markets.”
Units have luxury condo-style finishes and rents that average $1,989. Dwell Vienna Metro is currently 91 percent occupied. There are large employment centers, including Tysons Corner and The Fairfax Government Center, within five miles of the community. Associated Estates now owns 1,552 units in four communities in Northern Virginia.
BRE properties acquires 150-unit community for $48.8M
Lafayette, Calif.—BRE Properties Inc. has purchased Lafayette Highlands, a 150-unit, 8.2-acre community located in Lafayette, Calif., for $48.8 million. The property, which is the only residential property in Lafayette with more than 100 units, was acquired at a discount to replacement cost with proceeds from the company’s revolving credit facility.
“The Lafayette acquisition furthers BRE’s strategy to allocate additional capital in the San Francisco Bay Area. Lafayette Highlands is in one of the most affluent and desirable communities in the area,” says Steve Dominiak, executive vice president and chief investment officer at BRE.
The property was built in 1973 and was fully renovated in 2007. The 14 residential buildings are situated on 8.2 acres and achieve a unit density of 18 units per acre. Amenities at the gated community include a fitness center, pool, and children’s playground. The community is located within two miles of both the Lafayette and Walnut Creek BART stations, which offer a 30-minute commute into San Francisco’s Financial District.
ARA arranges sale of apartment property at $72,120/unit
Denver–ARA brokered the sale of The Foothills Apartment Homes in Denver.
ARA Denver principals Doug Andrews, Jeff Hawks, Terrance Hunt, and senior vice president, Shane Ozment, represented the seller, a real estate company located in Woodland Hills, Calif., in the disposition. The property was purchased by Aukum Management LLC, a California-based investor/operator.
Constructed in 1983, Foothills Apartment Homes enjoys convenient access to a wide variety of employment and retail facilities, as well as Colorado Heights University, formerly the Teikyo Loretto Heights University. Additionally, the property is less than 10 minutes from the new River Point at Sheridan Shopping Center and the Englewood CityCenter, an open-air mixed-use development offering 330,000 square feet of office space, 50,000 square feet of restaurant space, and the Englewood CityCenter Light Rail Station, which provides residents with convenient access to the entire metro area.
Aukum Management LLC, purchased the property for $15.7 million representing a price per unit of $72,120.
“The buyer plans to grow rents and continue with the renovation process started by the seller, as well as update and add to the common area amenities,” says Terrance Hunt, principal with ARA Colorado. The property was 95 percent occupied at the time of sale.
