FCP Completes Disposition of St. Charles Apartment Portfolio
In the past six months, Chevy Chase, MD-based FCP has sold the final 2,661 apartment units in the St. Charles portfolio to multiple buyers for a combined sale price of $435.3 million.
ST. CHARLES, MD—With the closing of a $71-million deal involving three multifamily properties to the Reliant Group of San Francisco, FCP has completed its planned disposition of the Apartments of St. Charles here.
The latest sale involves a total of 564 housing units to the Reliant Group. In the past six months, Chevy Chase, MD-based FCP has sold the final 2,661 apartment units in the St. Charles portfolio to multiple buyers for a combined sale price of $435.3 million.
The three communities sold were Bannister (208 units), Palmer (152 units) and Wakefield Terrace (204 units). All three communities are centrally located within the master planned community and are within walking distance to numerous amenities including neighborhood schools, grocer-anchored retail and community centers.
FCP acquired the St. Charles portfolio in December 2009 as part of its American Community Properties Trust acquisition for $43.6 million plus the assumption of debt. FCP subsequently privatized APO. The initial APO purchase included 3,200 multifamily units, 230,000 square feet of office space and more than 4,500 acres of land entitled for more than 11,000 residential units and 5 million square feet of commercial development. Most of the assets were located in St. Charles, MD and Puerto Rico.
FCP is actively marketing its remaining St. Charles holdings, which include 66 acres of centrally-located commercial property approved for 180 active adult apartments, 208 market rate apartments and 160,000 square feet of neighborhood retail.
Over the past eight years, FCP repositioned and sold portions of the APO portfolio. Early dispositions included interests in a Florida homebuilder; land, apartment and office assets in Puerto Rico; and apartments in Baltimore and Richmond, VA.
In August 2017, FCP sold 2,400 acres of residential property entitled for more than 7,000 homes in St. Charles to Lennar Corp. for $53.7 million and, in April 2018, completed the $302-million sale of 11 St. Charles apartment communities totaling 1,731 units. In September 2018, FCP announced the $56-million sale of two apartment communities to Preservation Partners. Other material commercial land dispositions at St. Charles included the $13-million sale of land to Competitive Power Ventures for the construction of a 725-megawatt natural gas-fueled power plant, the $9.2-million sale of land to Aggregate & Dirt Solutions and Clean Earth of Greater Washington for industrial recycling and the sale of the St. Charles office building for $5 million.
CBRE’s Mike Muldowney, Michael Rudolph and other members of the brokerage firm’s Mid-Atlantic Multifamily Investment Sales and Debt and Structured Finance teams, as well as Jeff Kunitz and Alex Medeiros of CBRE’s Affordable Housing Investment Sales team, handled the marketing, sale and financing of the transaction. KETTLER Management assisted in the repositioning of the multifamily portfolio.