WashREIT To Buy D.C.-Area Apartment Portfolio For $461M

The Point at McNair Farms community in Herndon, one of the properties WashREIT acquired
Courtesy of WashREIT
The Point at McNair Farms community in Herndon, one of the properties WashREIT acquired

A portfolio of over 2,000 D.C.-area apartments has found a buyer, the latest in a string of massive multifamily portfolio sales in the region.

WashREIT announced Wednesday it entered into an agreement to purchase seven communities totaling 2,113 in Northern Virginia and suburban Maryland for $461M.

The REIT did not disclose the seller of the properties, but property records show they are owned by Pantzer Properties. Bisnow reported last month that Pantzer retained CBRE to market a seven-property Maryland and Virginia portfolio.

The apartment portfolio, consisting of garden-style, Class-B communities in the suburbs, is roughly 95% occupied.

The properties include The Point at McNair Farms and The Point at Dulles communities in Herndon, The Point at Germantown and The Point at Watkins Mill in Montgomery County, the Point at Bull Run in Manassas, plus The Point at Alexandria and The Point at Leesburg.

WashREIT CEO Paul McDermott said the company saw that new development has focused on the urban core while supply remains stable in the suburbs, despite growing demand for suburban apartments.

"We are expanding our multifamily portfolio to serve the fast-growing cohort of renters — aging millennials — who can't afford home ownership or urban infill rents and are drawn to well-located, Class-B suburban multifamily with its larger living spaces and excellent community services," McDermott said in a release.

The acquisition comes after a first quarter during which over 11,000 Mid-Atlantic suburban apartments traded for $2.2B, all sold by Dallas-based Lone Star Funds. The deals included a 10-property portfolio sale to Morgan Properties for $890M and a 6,000-unit sale to the Kushner Cos. for $1.1B.

Continue reading this story with a free account

Log in or register
Sign up for more articles like this
Subscribe to Bisnow's Washington, D.C. Newsletters
Related Stories

Developers Line Up To Convert Boston Offices To Housing, But Most Still Stuck At Starting Gate

D.C.'s Office Market Is Getting A Makeover

To Rein In Costs, Philly Affordable Housing Players Look To Become 'Less Reliant On Consultants'

Rent Concessions Dip As Fewer Apartments Come Online

AvalonBay, Equity Residential Selling Boston Towers As Part Of Merger Settlement

Judge Rules FBI Can't Scrap Maryland Headquarters Plan

IRES Looks To More Forward Funding As Resi Market Gathers Pace

Knightvest Capital Acquires 3 Multifamily Communities In Austin

CGI Merchant Had A-Rod's Backing And A $650M Fund. Then It Bought Trump's D.C. Hotel And It All Fell Apart

Millennium Partners Lands $281M Loan For Winthrop Center Tower

Brookfield Offloads 3-Building Silver Spring Office Complex

Vivmark Details Merged Entity, Becomes Largest U.S. Apartment REIT By Far