SUITLAND, MD—Transwestern's Mid-Atlantic Multifamily Group is marketing two apartment properties positioned as value-add investments. The brokers, Dean Sigmon and Robin Williams, tell GlobeSt.com that that they expect the two buildings to trade for a total of $125 million.

One property is Andrews Ridge, located in Suitland, MD. It consists of 492 units. The second property is Regency Pointe, which is located in Forestville, MD, and has 599 units. The properties may be purchased together or separately.

The properties have had $30 million in capital improvements, which means much of the heavy lifting in terms of renovations have been done already, Sigmon tells GlobeSt.com. The new owner has about 700 plus units left to renovate. Once that phase is completed, the owner can substantially increase rental revenue to pass through the water and sewer expenses – an expense shift made possible because of the recent utility conversions, according to the properties' marketing materials.

Both properties could conceivably capture monthly rental premiums of $140 to $200 per unit after the conversions, the materials also say.

The two properties fall in the group's sweet spot: value-add renovation plays for class B apartments. "From a resident perspective this submarket has experienced strong demand for renovated properties," Williams says.