Federal Capital Partners Purchases Loft Mixed-Use for $35.25M
- Jan 20, 2012
Federal Capital Partners (FCP) recently acquired the first phase of West Village in Durham for $35.25 million. The seller was BGL Real Estate Advisors, which was represented by First Capital Realty of Bethesda, Md.
According to the CityBizList, Phase I of West Village encompasses 241 loft apartments, with an additional 10,000 square feet of retail space. The project was converted from a Liggett and Myers tobacco warehouses to residential use in 2000. The development at that time was the largest historic conversion in North Carolina.
FCP will collaborate with Bell Partners in the investment. Alex Marshall, FCP managing partner, said that the lofts are attractive for professionals and students, due to the complex’s proximity to the Duke Campus, the medical center and the Research Triangle.
West Village is FCP’s third investment in North Carolina. The company has invested $42 million in joint venture in two other apartment complexes.
In related news, Colonial Properties Trust acquired the 350-unit Highlands at Brier Creek for $45 million. The property has been renamed as Colonial Grand at Brier Creek.
The company funded the acquisition through proceeds from dispositions and a drawdown from an unsecured credit facility. The complex features one-, two- and three-bedroom units ranging from 786 to 1,246 square feet.
Also making the headlines is the acquisition of the 345-unit Beech Lake Apartment complex. The property was purchased through a joint venture between Westdale Properties and Lubert-Adler, which paid $19.7 million for the complex. The seller, Palatine Capital Partners, had purchased the complex for $15.6 million in 2009.
Alex Hurst, founder and managing partner of Palatine Capital Partners, said that the company had managed to substantially improve Beech Lake’s physical condition and to grow the rents by more than 11 percent.