Bisnow Scoop: Big Deal in Kalorama
The Kalorama Triangle isn't often thought of as the place for real estate investors to park their cash. One mystery buyer begs to differ, plunking down $20M for a fully leased building.
Bisnow has learned that Urban Investment Partners (here's co-founders Wout Coster and Steve Schwat) has sold the Policy apartments on Kalorama Road to an undisclosed buyer. Wout confirmed the sale to us and says the 62-unit property is fully occupied. UIP, which purchased the property in 2008, was motivated to sell since the fund it was placed in had matured, he tells us. (Can we do the same with teenagers who think they've matured?)
The deal represents a 120% increase from the $9M UIP paid for the Policy in 2008. Wout says the property, built in 1929, was "fundamentally renovated" before the sale; a UIP press release from a few years ago says the renovation amounted to about $6M. (Another fun fact from that release: while in Congress, future president Harry Truman tried to rent an apartment at the Policy but found the building too expensive.) CBRE's Bobby Meehling, who repped UIP in the deal along with colleagues Andy Boyer and Brian Margerum, tells us he also helped sell the building to UIP in '08, a bold move at the time due to the recession. But "they had faith in the market, and they were right," Bobby says.
