DSF Group Secures $166M in Financing for One of DC Metro’s Largest Multifamily Acquisitions
DSF Group of Boston obtained $165.9 million in financing to acquire the 678-unit Town Square at Mark Center in Alexandria, VA. Marcus & Millichap IPA Capital Markets’ Cameron Chalfant and Brian Eisendrath, along with Evan Denner of Marcus & Millichap Capital Corp., arranged the fixed-rate, 35-year amortization, 70% LTV acquisition loan with Freddie Mac through M&T Bank.
“This deal checked all the boxes for the lender: deal size, sponsorship strength and agency mission-driven rents,” Chalfant told ApartmentBuildings.com.
DSF Group paid $237 million to seller Equity Residential for ownership rights to the property in Washington, DC’s NoVa submarket. The transaction was the region’s second-largest within the past year.
Chalfant acknowledged that securing the loan was tricky for a few reasons. “While the deal size helped drive terms, a lot of eyes were on it, and there was no room for error,” he said. A Treasury rate increase during the post-election period meant the IPA team had to pull out multiple stops to lock in an interest rate quickly.
Furthermore, “this transaction happened during the year-end push, when everyone was busy trying to get their deals closed,” Chalfant explained. “We were able to clear the market and pick a lender through an abbreviated process. This meant we had the deal under application with the lender within seven days of the sponsor being awarded the deal.”
Chalfant said that IPA has closed over $1.2 billion in financing with DSF Group over the past seven years.
The Class A Town Square at Mark Center came online in 1996 and 2001 and was 98% occupied at the time of sale. Situated on 24 acres at 1459 N. Beauregard St., the multifamily property consists of 25 three- and four-story buildings with one-, two-, and three-bedroom units. On-site amenities include swimming pools, a spa, a clubhouse, a fitness center, volleyball courts and basketball courts.
The new owner is planning light renovations to the property.
Other Features
Art College Pays $11 Million for Historic Rittenhouse Square Property
Developer Method Company sold 1831 Chestnut, a landmark Philadelphia property, to the Moore College of Art and Design. The former 29-unit boutique ROOST Rittenhouse Hotel traded hands for $11.5 million; the new owner will convert the building for student housing use. The acquisition included ground-floor retail space, which houses a jewelry store. “The seller purchased...
Continue reading
Sale Cloth Factory Apartments Sell for $16 Million
Delancy Street Capital ended its decade-long hold on the 107-unit Sale Cloth Factory Apartments in Baltimore, MD. Harbor Stone Advisors President Justin Verner, Director Brooks Healy, Senior Advisor Tom Wohlgemuth and Advisor Kevin Landolphi served as the seller’s advisors in the $16 million sale. The multifamily property is at 121 S. Freemont Ave., adjacent to...
Continue reading
Brokers
View All-
Remax Professionals
Re/Max Real Estate Professionals | New York
-
Jared Ennis
Central CA Commercial | California
-
Rick Recckio
Recckio Real Estate & Development
-
Eamonn McConnell
Avison Young - CA - ON - Greater Toronto
Lenders
View AllManagement
View All-
Essex Property Trust, Inc.
California
-
Josh A
California
-
Bob Tuteur
-
Andrew Schildcrout