Just months after acquiring a new property nearby, a Florida-based company has increased its wealth holdings in the Richmond area by purchasing a six-year-old multifamily home in northeast Chesterfield .
American Landmark Apartments purchased Element at Stonebridge, a 400-unit multifamily home on the redeveloped Cloverleaf Mall site, in a $96 million loan transfer agreement that closed on August 16.
Drew White and Barcadia’s Carter Wood confirmed the transaction and represented the seller, Boyd Holmes. Friday’s online wealth records do not reflect the transaction, which puts him at $240,000 per door.
The county valued 12 acres of land at $96.1 million.
Boyd President David Rudiger said the Virginia Beach-based company hadn’t considered selling Element, but decided to do so because of market conditions and other regional projects it had underway.
“The opportunity presented itself and the market was very excited. We had another project under construction about two miles away, which gave us the opportunity to basically move our entire staff from one project to the next. Construction begins further west along the Midlothian Turnpike.
Regarding Element, Rudiger adds: We found a great opportunity to work with the county to redevelop the site. We think it has great potential and we are proving it right. ”
Boyd built the apartments as part of the larger Stonebridge redevelopment on the site of a former shopping mall. $60 million element project Opened in 2016 As the first home in a mixed-use development on the Midlothian Turnpike and Chippenham Parkway.
Construction on the apartment began in late 2014, a year after Boyd purchased the 301 Carl Lynn Drive site for $3.45 million. Apartments are grouped into his three buildings with courtyards, and there are eight different floor plans, ranging from 560-square-foot studio apartments to 1,260-square-foot two-bedroom units.
White said the apartment was 95% occupied when the deal closed, with an average new lease rent of over $1,350. Rent has risen by about $50 on average during the marketing period that began when the property hit the market in April, White said. The property was under contract by June, he said.
White said interest has been coming in from all over the country, and the level of interest is high given the price point. He said Berkadia has sold most of his Boyd’s large Class A apartment complexes over the past two decades.
“We are extremely pleased with our results in this turbulent and changing market,” said White.
In the release, American Landmark noted the property’s proximity to the newly constructed complex, Boulders Lakeside. purchased at the end of last year by Richmond-based Dominion Realty Partners and Florida-based Amzak Capital Management. He paid $71.6 million for a total of 248 units on his 24-acre lot in Boulders Office Park.
The two transactions mark American Landmark’s return to the Richmond market, which once co-owned Millspring Commons, a 159-unit complex in Henrico. Sold in 2017American Landmark owns and operates 34,000 units in multifamily communities in Carolina, Georgia, Florida, Tennessee, Texas and Arizona.
Boyd develops and manages multifamily and single-family communities in Virginia, North Carolina, and Florida. According to Rudiger, Element’s success led the company to develop a similar project near its Virginia Beach headquarters.
Boyd, away from the Element portfolio, is focused on Gateway’s Marcella. 245 unit complex Inside the Gateway Center Office Park on the Midlothian Turnpike and Powhite Parkway. Site work is underway, Rudiger said, with the first building he expects to be handed over in late 2023, with completion he expected a year later.
Also in Chesterfield, the company recently completed Town of Swift Creek, a for-sale and rental townhome development on Route 288 and Genit Road, just south of Clover Hill High School. Rüdiger said his unit is almost fully leased and another project in the county is in the works.
Element’s $96 million price tag isn’t the most expensive deal of the year, but it’s one of the larger apartment complexes we’ll see in Metro Richmond this year.