The Palatine, a luxury apartment complex at 1301 North Troy Street in Arlington, still has people talking after last week’s eye-popping sale of $142 million, or more than $540,000 per unit. According to the Washington Business Journal, it’s the highest per-unit price paid for a Class A apartment project in the Washington, D.C., area. What made the deal more interesting is that the 262-unit community sold for $118 million at an auction 15 months ago. The new buyer is the Teachers Insurance and Annuity Association-College Retirement Equities Fund (TIAA-CREF) of New York. The fund has made other recent property purchases in the D. C. region. TIAA-CREF hired McLean-based Kettler Inc. to manage the property, located a few blocks from the Courthouse Metro Station. With its proximity to high-end shopping, restaurants and employment centers in downtown D. C., Georgetown, Arlington and Rosslyn, the complex commands rents ranging from $5,000 for a two and a half–bathroom, 2,367-square-foot unit to $1,074 for a one-bathroom, 786-square-foot apartment. Amenities include granite countertops, walk-in closets, a 24/7 call center, fitness club, garage parking, swimming pool and pets-welcome policy.
Wow, incredible off-the-charts price—anyone know the cap rate on this deal?
--Chris Waller of Fredericksburg, VA
May. 24, 2011 at 01:37 PM