WASHINGTON, DC-AvalonBay announced Thursday afternoon it has sold two properties in March in the local area. One is the sale of Crystal House, which Mack-Cali announced in the morning that it had purchased as part of its initial foray into the DC area. According to Mack-Cali, the purchase price was $262.5 million. AvalonBay said the purchase price was $197 million.
The other property AvalonBay announced it had sold was Avalon Decoverly, a 564-unit apartment home community in Rockville, MD. That property traded for $135 million.
AvalonBay said that Crystal House was acquired as part of its acquisition of certain assets and assumption of certain liabilities of Archstone Enterprise in February. It also said the sale of Crystal House represents its interest in the leasehold improvements on the site.
These two communities were sold at a weighted average initial year market cap rate of 5.2%. The proceeds will be used for general corporate purposes.
CBRE arranged the sale of the 828-unit Crystal House, which is located at 2000 S. Eads Street Andy Boyer, William Roohan, Michael Muldowney, Jonathan Greenberg, Michael Rudolph, John Sheridan, Brian Margerum, Martha Hastings, Bret Kampf and Morgan Kline represented the seller.
As part of the sale the new owner received approval for an additional 252 units in two four-story wood-frame construction buildings fronting Eads street as well as 43 units of wood-frame construction across 22nd street on the southwest corner of Eads street.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
