Arlington Property Returns to Multifamily Roots After Decades as Hotel

Features July 17, 2026| | Amy Wolff Sorter

A property in Arlington, Va., is returning to its origins after decades as an extended-stay hotel.

Owner and private investor Goodhomes Communities LLC secured $34.6 million in financing from NewPoint Real Estate Capital LLC to acquire and convert the 187-key Clarion Collection Arlington Court Suites back into a multifamily property, with the process scheduled to be completed in 2027.

“Because the property already features residential-style layouts, full kitchens and larger unit configurations, the planned conversion is expected to be primarily cosmetic in scope,” Jacob Gabriel, director at Plano, TX-based NewPoint, told ApartmentBuildings.com.

The building at 1200 N. Courthouse Rd. in Arlington, VA, was originally developed in 1963 as an apartment building before its conversion into an extended-stay hotel in the 1980s.

Goodhomes acquired the property from Sunburst Hospitality Corp. in July for $35 million. Sunburst, which purchased the property in 2006, invested approximately $18 million in upgrades and rebranding. The company had also explored a hotel-to-apartment conversion strategy but shelved those plans and put the asset on the market in late 2025.

“Combined with its highly desirable Arlington location and the continued demand for housing in the market, the asset presents an attractive adaptive reuse opportunity with a clear path to stabilization,” Gabriel said.

Arlington’s limited land availability, restrictive zoning and high development costs have created a high barrier to new residential development, which supports long-term demand for existing apartment properties, Gabriel added.

The hotel will remain open during the renovation, with the conversion taking place in phases. Goodhomes plans to rebrand the property once work is complete.

The project marks Goodhomes’ second hotel-to-multifamily conversion in the Washington, D.C., area. The company is also converting the former Hotel Spring in Silver Spring, MD, into affordable housing, with completion expected in 2027. Gabriel said New York-based Goodhomes has additional conversion projects underway nationwide.

“This is the first project NewPoint has financed for Goodhomes, and we look forward to supporting the sponsor’s future growth as they continue to execute on this strategy,” he said.

Other Features

3.8% HUD Loan Assumption Attracts 10+ Bidders for $26.6 Million Modesto Apartment Sale

A Southern California family office made its first Modesto multifamily acquisition by purchasing the 100-unit Marc at 1600 for $26.6 million through a 1031 exchange. The buyer was one of more than 10 bidders for the property, which was marketed by The Mogharebi Group (TMG) of Costa Mesa, CA, on behalf of seller Tesseract...

Partial Office-to-Residential Conversions and Financing: The Case for a Floor-by-Floor Approach

Above photo: 100 Wall Street, VTS Marketplace Office-to-residential conversions might bring to mind occupier relocations, gutted interiors and retrofitted systems. Then, there are the partial office-to-residential conversions, in which some space is allocated to office occupiers, while upper floors are converted into for-rent units. “We are seeing partial conversions become an increasingly relevant option for...

Why Bonaventure Waited Four Years to Break Ground on the 344-Unit Attain at Swift Creek

In an environment where multifamily developers scramble to make projects work economically, Bonaventure took a different approach with Attain at Swift Creek in Chester, VA, a southern suburb of Richmond. It waited. The 58-acre site was under contract for four years while the developer worked through entitlements, changing construction costs and interest rates, and a...

Arlington Property Returns to Multifamily Roots After Decades as Hotel

Other Features

3.8% HUD Loan Assumption Attracts 10+ Bidders for $26.6 Million Modesto Apartment Sale

Partial Office-to-Residential Conversions and Financing: The Case for a Floor-by-Floor Approach

Why Bonaventure Waited Four Years to Break Ground on the 344-Unit Attain at Swift Creek

Brokers

Remax Professionals

Jared Ennis

Rick Recckio

Eamonn McConnell

Lenders

Management

Essex Property Trust, Inc.

Josh A

Bob Tuteur

Andrew Schildcrout