WashREIT Acquires 1,685-Unit Multifamily Portfolio in Northern Virginia for $379.1M
ALEXANDRIA, HERNDON, MANASSAS AND LEESBURG, VA. — WashREIT (NYSE: WRE) has acquired a five-property, 1,685-unit multifamily portfolio in Northern Virginia for $379.1 million.
The properties include: 205 Century Place in Alexandria; 13690 Legacy Circle and 2511 Farmcrest Drive in Herndon; 10519 Lariat Lane in Manassas; and 86 Heritage Way NE in Leesburg. Sellers were not disclosed.
“We are pleased to be growing our Northern Virginia multifamily portfolio by 53 percent at a time when that region is poised to deliver strong economic growth fueled by a thriving technology sector,” says Paul McDermott, president and CEO of WashREIT. “We look forward to capitalizing on northern Virginia’s robust job growth prospects and its continued demand for quality, value-oriented rental housing on an even larger scale.”
Although details on the properties were not disclosed, the buyer refers to the portfolio as being value-add, suggesting property improvements are on the horizon for the portfolio.
WashREIT now owns a total of 4,861 multifamily units in Northern Virginia. The company expects to close on a second acquisition totaling 428 units across two apartment communities in Maryland’s Montgomery County during the second quarter of this year for $81.9 million.
The company plans to pay for its expansion in multifamily by selling off several of its office and retail properties. To cover the acquisition costs in the interim, WashREIT received a $450 million unsecured loan facility from an undisclosed capital provider.
Washington, D.C.-based WashREIT owns and operates real estate assets in the metro area of Washington, D.C. The company’s stock price closed at $28.22 per share on Tuesday, April 30, down slightly from $28.83 per share one year ago.
— Kristin Hiller