UPPER MARLBORO, MD-Largo Center, a 100-unit apartment community located at 520 Largo Center Dr., has traded for $11.6 million. Greysteel's Ari Firoozabadi, John Mullen, W. Kyle Tangney, Lance Ahmadian, Caleb Brown, and Mike Bediones brokered the transaction between Boston Capital and Humphrey-Stavrou Associates and Beachwold Residential, which acquired the affordable housing community.
Built in 1994, Largo Center is a three-building complex located within walking distance of Large Town Center Metro Station. The property is an expired tax credit deal, Mullen explains--now in year 20 of its existence it has satisfied its regulatory restriction. Largo Center presents considerable upside because the rents have been far below market rates, he tells GlobeSt.com. "Other nearby properties are getting considerably more in rent."
The property is also a smart buy from a pure cash flow perspective, he adds. In addition, the value will appreciate even further as the area continues to build out. The new Prince George's 259-bed hospital is being developed close by, Mullen notes. The offering attracted a lot of interest for these various reasons, Mullen says. "We had the market rate buyers, the affordable buyers and the cash flow buyers all competing for this deal."
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