Prudential Buys 220 KSF M-F High-Rise in DC
- Nov 14, 2012
Holliday Fenoglio Fowler represented Federal Capital Partners in the sale of Allegro, a 297-unit, high-rise multi-housing community in Washington, D.C., to buyer Prudential Real Estate Investors, which acquired the asset on behalf of one of its client funds.
“It’s a core Class A apartment real estate in Washington, D.C., with a good location, and we’re seeing really strong activity on Class A assets downtown,” David Nachison, HFF’s senior managing director, told Commercial Property Executive. “Columbia Heights has proven itself as a magnet for the young professional renter demographic that all owners seek.”
Located at 3460 14th St. NW, Allegro is within walking distance of the Columbia Heights Metro Station, a Super Giant grocery store, DC USA and Tivoli Square.
“This neighborhood has transitioned and come a long way and still has some upside left in it,” Nachison said. “They are condo quality units with hardwood floors, granite countertops, stainless steel appliances and a private roof-top deck on the top floor.”
For Federal Capital Partners, the time to sell made sense because of that upside.
“They had purchased the deal back in 2009 and the market has done really, really well,” Nachison said. “When they bought it, it was only 65 percent leased and this was an opportunistic buy for them. They took an asset that wasn’t stabilized and put equity into do that.”
The property consists of studio, one- and two-bedroom units with an average of 740 square feet. Community amenities include a resident lounge, two courtyards, athletic club with yoga and Pilates room, party room, media lounge, internet café and business center, underground parking and resident grilling stations.
Allegro’s retail space is 100 percent leased to tenants including restaurants Thaitanic II and Le Caprice, as well as Allegro Cleaners.
The HFF team representing the seller was led by Nachison, Alan Davis and director Brenden Flood.