Historic Properties of Embattled Owner Sell for $37M

RICHMOND, VA—The Davis Companies of Boston have acquired the River City Renaissance portfolio of 29 historic properties here in a bankruptcy auction for $37.35 million.

The residential 1800s- and 1900s-style apartment buildings in the historic Fan and Museum districts in Richmond were owned by imprisoned developer Billy G. Jefferson, who was sentenced to 20 years in prison last year in connection with a multi-million dollar tax credits scheme. The Davis Companies' purchase of the River City Renaissance, LC (RCR) and River City Renaissance III, LC (RCR III) portfolio of properties marks the firm's entrance into the Richmond market. The sales deal was announced by Sperry Van Ness Auction Services, which led the auction proceedings.

“The well-publicized recent history and high profile of the properties made this a very exciting and challenging auction to market, coordinate and guide to its successful completion,” says Sperry Van Ness Auction Services' Louis B. Fisher III, CAI, who—along with team members Tim Dudley, CAI, AARE; David Gilmore, CCIM, CAI, AARE; Seth Marinoff, Reid Bennett, CCIM and Mark Motley, CAI, AARE of SVN/Motley's in Richmond—spearheaded the bankruptcy auction.

“We're very enthusiastic about these properties. They hold significant historic appeal, they're of great intrinsic quality and they're located in wonderful neighborhoods,” states Jonathan G. Davis, CEO of The Davis Companies. “Since some of the typical maintenance was probably deferred over the past several months, our team will now go through the properties to address any maintenance issues, and to begin a program of significant enhancements and renovations.”

The Davis Companies appointed Bonaventure of Arlington, VA as the apartments' onsite property manager.

“We were very pleased with the entire auction process during the course of these past several months,” adds Sperry Van Ness' Fisher. “The portfolio, from its size to its recent high profile history, presented a number of unique challenges that we were able swiftly and effectively address in order to reach this final outcome to the satisfaction of all involved.”