WASHINGTON, DC—Washington Real Estate Investment Trust's value-add investment approach is on full display as it adds to, prunes, and repositions its multifamily portfolio. The latest: a report from a source that it has found a buyer for a Falls Church asset, Munson Hill Towers.

Located at 6129 Leesburg Pike, Munson Hill is a 279-unit, 12-story building developed in 1963. It is under contractfor, according to a source, $57.1 million or $204,659 per unit. A Washington REIT spokesperson told GlobeSt.com that the property was under contract but declined to discuss details.

A look at recent transactions provides a deeper appreciation for Washington REIT's nuanced approach to the DC area's multifamily market or, rather, markets.

Last month the REIT acquired The Wellington in Arlington, VA, consisting of 711 units and on-site density to develop approximately 360 additional units, for $167 million.

At the time the REIT also said it was planning to build a fourth building on the site that will add 360 additional units as well as upgrade the existing units.

A spokesperson from the company told GlobeSt.com at the time, however, that there wasn't a timeline for breaking ground on that fourth building, in large part because the permitting process is only getting started. Its plans for upgrading the rest of the project are moving forward with post haste though.

Also, and this is key to the company's ROI strategy for this property: Washington REIT won't be upgrading the units to Class A, but rather to "a better class of Class B," the spokeswoman told GlobeSt.com, "enough to justify a higher Class B rent."

Comments CEO Paul McDermott made during Washington REIT's earnings call at the end of last month reveal just how much of a profit the company expects to garner from its "better class of Class B" strategy in this piece of the submarket. He said:

          "Based on the CapEx incurred and the rental growth achieved by the units that have  are ready been renovated, we expect the unit renovation program to generate returns that well exceed our typical target of a 10% average yield on cost. We remain committed to proven capital allocations as evidenced on our last earnings call when we reduced our 2015 acquisition guidance to represent the Wellington, which was the value add acquisition opportunity that was then visible to us."

Other legacy assets are also on the market now, he also said. Four to be precise, including land.

           "We are on track to meet our 2015 dispositions guidance of $140 million to $150 million and are preparing to accelerate additional legacy asset sales of approximately $250 million over the next 18 months."

Entirely new development though? Maybe not. In its year-end filing with the SEC for 2014, the REIT said it decided to delay commencement of construction of a high-rise multifamily property at 1225 First St. in Alexandria, VA, "due to market conditions and concerns of oversupply."