Columbia Heights MF Trades for $76,923 Per Unit

WASHINGTON, DC-A 13-unit boutique apartment building at 1445 Spring Rd., NW, in Columbia Heights has traded for $76,923 per unit or $1 million. What is notable about the trade is that it finally sold for 12.5% more than the original listed price of $67,308 per unit or $875,000.

The 12,888-square foot building had been owned by the Quick family for fifty-two years. Marty Zupancic and Peggy Brooks Smith of Marcus & Millichap's Washington, D.C. office were the brokers in the transaction. They ran more than twenty-five tours and receiving some ten written offers. A local real estate investor put a contract on the property but the tenants formed a tenants association, exercised their TOPA rights

The asset ultimately went under contract with a local real estate investor for $1,000,000. However, the tenants formed a tenant association, exercised their TOPA rights, and closed on the transaction on the last day allowed under the statute.

1445 Spring Road NW is the fourth small apartment building to trade in this pocket of North Columbia Heights in the last couple of years, Zupancic says in a prepared statement.

"The location next to a tributary of Rock Creek Park, the proximity to 16th Street, and strong rent growth in this submarket, all contributed to the strong level of interest in this asset," he says.

The building is next to one of the recent sales -- The Pershing House at 3701 16th St NW, a 59-unit apartment building that was purchased by Van Metre Cos. in August 2011 for $4,712,000, or $79,864 per unit.

Across the street is The Fitzgerald, at 3625 16th Street NW, a 23-unit apartment building that traded in December 2012 and has since undergone major renovations by the owners, CAS Riegler, JCR, and SNEAD Construction Cos. The Fitzgerald, which was purchased for $1.8 million or $78,261 per unit, was originally planned to be a condominium conversion project. The owners, though, have chosen to keep it as a rental.

That same month and year The Fitzgerald traded, the apartment building at 1575 Spring Pl NW sold for $1.2 million, or $75,000 per unit.