Croatan Acquires 291-unit Washington, D.C. Apartment Community
Croatan Investments, a sponsor of Delaware statutory trust offerings and other private placements, acquired Midtown at Camp Springs.
Croatan Investments, a sponsor of Delaware statutory trust offerings and other private placements, acquired Midtown at Camp Springs, a 291-unit garden-style apartment community with 13,000 square feet of ground floor retail located in the Washington, D.C. metro area.
Built in 2009, Midtown at Camp Springs’ current occupancy rate is 96%. In addition to value-add renovations that will modernize the asset’s interiors and common areas, the third-party property management firm, Greystar, has an extensive presence in the local market and will bring efficiencies with the operations of the asset.
“We are forecasting strong market rent growth in the DC market,” said Paul Van, chief executive officer. “With the stability of the federal government employment base, we expect the region to outperform other markets should we experience an economic downturn. With a cost basis that is well-below replacement cost in a municipality with a historically difficult approval process for new construction, this was a great opportunity and a great time to extend our reach to the DC market.”
Midtown is within walking distance of the General Services Administration’s newly constructed US Citizenship and Immigration Services Campus as well as 35,000 square-feet of newly constructed retail developed to support the 3,700 employees being relocated to the submarket. In addition, the property is one-and-a-half miles from the 226-acre Suitland Federal Center, which is the home of the US Census Bureau headquarters, offices of the Bureau of Economic Analysis, Smithsonian Institute and NOAA among others.
Croatan Investments is a private equity real estate manager focused on multifamily investments. Founded in 2004 and headquartered in Virginia Beach, the firm has team members operating in Austin, Dallas, Atlanta, New York City, Washington D.C., and Singapore. Its portfolio currently consists of multifamily assets across the Mid-Atlantic and Sun Belt regions.
