The seller was Rimsi Corp., based in Bethesda. Rimsi wasrepresented by Coldwell Banker Commercial Ideal Realty Group.

|

[IMGCAP(2)]FCP is planning a $14-million rehab of theproperties, which are located at 6311 Pennsylvania Ave. Theupgrades, which are scheduled to start immediately, will includeimproving all of the common areas and upgrading the systems andfinishes. Park Berkshire Apartments was developed in two phasesduring the 1960s. The seller acquired the property in the1980s.

|

The credit crunch has had the expected affect on this slice ofthe commercial real estate market. Lacy I. Rice, FCP partner tellsGlobeSt.com that "the financing market is getting more difficultand the impact on pricing has yet to be seen. Many of the highleveraged buyers that were often most aggressive in '06 and '07 areno longer as active.

|

Still, though, Dean Sigmon, team leader at ColdwellBanker--which has brokered most of the major multifamily tradeshere in recent years--tells GlobeSt.com that despite the creditcrunch there is still significant demand for value add multifamilyproduct here. "There are still funds available--we are still seeinga significant interest in these types of properties."

|

The property was purchased by a subsidiary of FCP Fund I LP,FCP's recently formed private equity fund. Currently, the fund hasin excess of $600 million in purchasing power for real estateassets in the mid-Atlantic region. Wells Fargo Bank, N.A., throughits Real Estate Merchant Banking Group, provided a first mortgageloan for the acquisition.

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.