This Week's D.C. Deal Sheet
A partnership focused on preserving and improving affordable housing purchased a 118-unit property in Brentwood, Maryland.
BrookWynn Capital and Shift Capital acquired Capitol Square Apartments at 4008 38th St. for $15.9M, the pair announced this week.
BrookWynn Capital, a Black-owned multifamily investment firm, and Shift Capital, a neighborhood investment group, plan to stagger renovations to 77 of the units without displacing residents. The work is set to include energy-efficiency upgrades, safety and security enhancements, and resident gathering spaces.
Financing came from public and private sources, including Prince George’s County, the Community Preservation Corp., A. Walker & Co. and Arbor Realty Trust.
“With increasing market demand for rental property, exercising our Right of First Refusal program on multi-family properties, like Capitol Square, is critical to preserving naturally occurring affordable housing, which is increasingly becoming a disappearing asset in the region,” Prince George’s County Executive Angela Alsobrooks said in a release.
LEASES
A 60K SF high-end eatertainment destination is coming to Dulles Town Center as part of a nationwide expansion. A franchisee of Myrtle Beach, South Carolina's 810 Billiards & Bowling signed a lease for the first floor of the former Sears, the Washington Business Journal reported. The brand has seven locations and 16 in development. The Dulles Town Center location is expected to open late this year or in early 2025, according to the WBJ. Virginia Investment Properties acquired the 1.4M SF mall on 23.6 acres for $46.4M in December.
FINANCING
New York-based affordable housing firm Hudson Valley Property Group purchased four Maryland properties totaling 988 units, the Washington Business Journal reported. Three are in Prince George's County and one is in Montgomery County. The acquisition was part of a larger portfolio that included a property in North Carolina. The total price for the 1,100-unit portfolio was $208M, including $13M for renovations.
SALES
CoStar purchased a 31-story office tower in Rosslyn for its new headquarters. The global real estate tech giant paid $339M to acquire the property from JBG Smith, Bisnow first reported. The Bethesda-based REIT developed the 552K SF property in 2018 and owned it in a 50-50 partnership with PGIM Real Estate. CoStar plans to occupy 150K SF and bring 650 employees. It was headquartered in downtown D.C. for the last 14 years at 1331 L St. NW.
MILESTONES
Boston Properties announced an “extensive” renovation is underway at its 11-story office tower in Chevy Chase, branded as Wisconsin Place. BXP developed the 301K SF property at 5404 Wisconsin Ave. in 2009. It sits on the Maryland side of the D.C. border, next to the Friendship Heights Metro station.
The landlord is repositioning the third floor of the property as a 16K SF amenity space for tenants with a 9K SF outdoor terrace, conference facility, lounge and café area, an expanded fitness facility with a personal trainer and a casual meeting lounge. It is also activating the two-floor lobby as a “hospitality-focused greeting hub” with a coffee bar and seating.
PERSONNEL
Jim Lindsey and Kevin Woodley, vice presidents at Bethesda-based Buvermo Investments, have spun off to launch a real estate investment firm focusing on the Southeast, the Sun Belt and the D.C. metro area. Branded as BVO Capital, it will operate as a sponsor, investor and operator. It will focus on active adult, multifamily and build-for-rent properties, the partnership announced.
The firm launched with 11 active adult projects across Tennessee, Georgia, North Carolina and South Carolina. One in Myrtle Beach is open, four are under construction and six are in development. London-based Rinkelberg Capital is backing the firm.
