X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

WASHINGTON, DC-Several large multifamily transactions have closed or are under contract in the DC area, most recently the $100-million trade of Metropolitan at Pentagon Row, a 326-unit luxury apartment high-rise in Arlington, VA.

The same dynamics that are pushing these deals across the finish line–good local fundamentals, government backed funding–are also having an impact on smaller building trades. One local broker–the Firoozabadi Group of Marcus & Millichap Real Estate Investment Services–reports that it has 15 transactions under contract now, representing roughly $100 million in the aggregate that are expected to close within the next few months.

There are some differences between the smaller deals that are closing and their larger counterparts, Ari Firoozabadi tells GlobeSt.com. The smaller deals have been, not surprisingly, moving more fluidly to closing. They also tend to be characterized more by distress than much, but not all, of the larger deals that have closed lately. “Many of these deals are troubled assets that have been put on the market, or assets from owners that are experiencing financial distress. Buyers are buying short of the balance of the loan or buying above the balance.”

On Friday, the Firoozabadi Group closed on a $5-million transaction in Arlington. It also recently closed on 3121 Mt. Pleasant Street Apartments in the District for $1.7 million. This deal first went on the market long before the current downturn; it was first marketed in 2007 when the tenant organization was offered their right of first refusal to purchase the property. E&G Group, the management and development partner eventually secured financing from the District of Columbia’s Department of Housing and Community development on behalf of a new purchaser. The E&G Group will continue to manage the property.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt. APARTMENTS SPRING 2021Event

Join 1000+ of the industry's top owners, investors, developers, brokers & financiers at THE MULTIFAMILY EVENT OF THE YEAR!

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.