LOS ANGELES – December 15, 2014 – A fund sponsored by CBRE Global Investors has acquired the Residences at Springfield Station, a Class A, 631-unit garden and mid-rise style apartment community in the Washington, D.C., metro area that is 94 percent occupied.
Located at 6802 Junction Boulevard in Springfield, Virginia, the property is well-designed with attractive, contemporary exteriors, an extensive amenity package, and covered parking. It is adjacent to the Franconia-Springfield Metro Station servicing both the Yellow and Blue lines, the Virginia Railway Express and multiple bus routes, and is located at the intersection of three of the region’s most heavily traveled highways, I-95, I-395 and I-495. It is also the closet asset to the newly renovated and expanded Springfield Town Center, which is at the forefront of a major transformation that will raise the profile of this location and preserve long-term demand at the property.
The team will implement a capital improvement program that includes unit interior renovations and upgrades to the common area amenities. Interior enhancements may include the installation of updated lighting and plumbing fixtures, two-inch window blinds, stainless steel appliance packages, two-tone paint, new carpets, upgraded cabinets and hardware, and new countertops. Common area capital projects will include a clubhouse modernization with an expanded fitness center, enhancements to the resort-style pool deck, the addition of a dog park and improvements to Metro accessibility.
The team also plans to improve operations by implementing dedicated asset management as well as CBRE Global Investors’ proprietary “Inspired Lifestyle” comprehensive residential service program.
“Because Springfield Station offers both garden and mid-rise style construction, it can appeal to a larger renter pool by offering diversified product and price points,” said Steve Gullo, Managing Director, CBRE Global Investors Multi-Housing Group. “Furthermore the design of the common areas and unit floor plans make the property an ideal candidate for an upgrade program that will position it as the premier community in the competitive set.”
“Washington, D.C., is a target market for us with supply having peaked and absorption projected to outpace new deliveries,” said Steve Zaleski, Senior Managing Director, CBRE Global Investors Multi-Housing Group. “The Fairfax County submarket is expected to significantly outperform the MSA both in terms of rent growth and vacancy over the forecast period. This immediate location benefits from strong diversified employment, and federal government spending is projected to steadily increase over the next few years, fueling apartment demand.”
About CBRE Global Investors
CBRE Global Investors is a global real estate investment management firm with $88.6 billion in assets under management* as of September 30, 2014. The firm sponsors investment programs across the risk/return spectrum for investors worldwide.
CBRE Global Investors is an independently operated affiliate of CBRE Group, Inc. (NYSE:CBG). It harnesses the research, investment sourcing and other resources of the world’s premier, full-service commercial real estate services and investment company for the benefit of its investors. CBRE Group, Inc. has approximately 44,000 employees in approximately 350 offices (excluding affiliates) worldwide. For more information about CBRE Global Investors, please visit www.cbreglobalinvestors.com.
*Assets under management (AUM) refers to fair market value of real estate-related assets with respect to which CBRE Global Investors provides, on a global basis, oversight, investment management services and other advice, and which generally consist of properties and real estate-related loans; securities portfolios; and investments in operating companies, joint ventures and in private real estate funds under its fund of funds program. This AUM is intended principally to reflect the extent of CBRE Global Investors’ presence in the global real estate market, and its calculation of AUM may differ from the calculations of other asset managers.