ARLINGTON, VA-It has been a busy period for the Washington Real Estate Investment Trust. The REIT is acquiring an apartment building in this submarket following news that it found a buyer for its medical office portfolio, for $500.75 million.
MRP Realty and Angelo Gordon are the sellers of the property, which is called The Paramount. It consists of 135 apartment units and is trading for $48.2 million.
The companies acquired The Paramount in June 2010, and proceeded to renovate and reposition the asset in order to better compete with the newer projects coming online in Crystal City. Over the past 48 months, they invested nearly $4 million in renovations to the common areas and unit upgrades. A 17-story building built in 1986, The Paramount is located at 1425 South Eads St. It also has about 3,500 square feet of ground-floor retail.
One of the reasons WRIT decided to sell off its formidable medical office portfolio was because it wanted to focus on core assets – a group that, for the REIT, includes multifamily.
This May MRP Realty and Angelo Gordon tapped Cassidy Turley’s Christopher Doerr, Bill Collins and Rachel Ley to market The Paramount. At the time, the broker speculated that the building would attract strong interest from institutional investors.