Morgan-Olayan JV Snaps Up Mid-Atlantic M-F Portfolio
- Jun 08, 2014
A joint venture between Morgan Properties and The Olayan Group has acquired a large multi-family portfolio in the Mid-Atlantic region. Berkshire Property Advisors sold the properties, most of them located in the Baltimore-Washington metropolitan area, for a total price of $309 million.
The Mid-Atlantic portfolio consists of seven garden-style apartment communities constructed between 1964 and 1972 and two high-rise apartment buildings built in 1964 and 1986. Together, they offer 2,671 units. The properties are located in Fort Washington, Hyattsville, Laurel and Parkville, Md., and in Newport News, Va. Harbor Place is the largest of the nine properties. It is a 606-unit apartment community located in Fort Washington.
All of the properties offer spacious rooms, with numerous amenities including individually controlled HVAC units, in-unit washers and dryers, and walk-in closets. In order to further enhance the value of the portfolio, Morgan Properties plans to start a renovation project. It will consist of 350 kitchen-and-bath renovations, 450 washer and dryer installations, and amenity upgrades including clubhouses, fitness centers, resident lounges and dog parks. Morgan Properties will also bring a number of new employees to their company from Berkshire.
“The Mid-Atlantic portfolio is a major acquisition for our organization. Our team is prepared to add tremendous value to the assets. Given our local market knowledge and operational expertise, Morgan Properties is the right operator to efficiently manage and enhance the value of the portfolio. We are excited to collaborate with Olayan, and we are looking forward to owning these assets and executing our business plan,” Mitchell Morgan, founder & CEO of Morgan Properties, said in a statement for the press.
Morgan Properties is one of the largest and fastest-growing multi-family owners in the United States. Since 2011, the company has invested more than $800 million to buy over 7,000 units. It has more than doubled its multifamily portfolio in the Maryland-Washington, D.C., Corridor. The new portfolio deal represents the second transaction between Morgan Properties and Berkshire in the past year.
Photo credit: Morgan Properties