Transwestern Brokers Sale of 234-Unit, Value-Add Investment
October 07, 2021
NEWARK, Del. –Transwestern Real Estate Services (TRS) announces its Mid-Atlantic Multifamily Group has brokered the sale of Iron Hill Apartments, a 234-unit, value-add multifamily property at 2 Burleigh Court in Newark, Delaware, for $32.1 million, or $137,179 per unit. Transwestern Executive Vice Presidents Dean Sigmon and Robin Williams, Vice President Justin Shay and Senior Associate Michael D’Amelio represented the seller, Maryland-based Rimsi Corp., in the disposition to Montium, a New Jersey-based real estate investment and management firm.
“We received tremendous interest from both local and out-of-town investment groups that were attracted to Iron Hill’s realizable upside potential,” said Shay. “With more than 90% of the units offering original finishes, new ownership is poised to achieve strong rent and NOI growth through repositioning and capital improvements.”
Iron Hill benefits from its central location along the I-95 corridor, between the University of Delaware and the Christiana area, home to a 2.1-million-square-foot mall and 1.3-million-square-foot, 906-bed hospital. Philadelphia and Baltimore are less than an hour's drive, and Washington, D.C. and New York are within a two-hour train ride.
“We continue seeking opportunities in the Delaware multifamily market,” said Sigmon. “Investors have shown an incredible appetite for strategically located, value-add properties in submarkets like Newark where effective rents are consistently trending upward.”
According to Axiometrics, effective rents in the Newark submarket increased 5.9% in the 12 months ending June 2021 and have grown an average 2.9% annually for the last 25 years.
Transwestern’s Mid-Atlantic Multifamily Group provides a full range of investment sales services throughout Maryland, Washington, D.C., Northern Virginia, Richmond, Baltimore and Delaware. The group’s recent client roster includes Sentinel Real Estate, Federal Capital Partners, Foulger Pratt with DLJ, Hampshire Properties, Aimco, Avalon Bay, Equity Residential, The Bozzuto Group, Fannie Mae, AIG Investment, Morgan Properties, Goldman Sachs, JP Morgan and Angelo Gordon.
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About Transwestern Real Estate Services
Transwestern Real Estate Services (TRS) adds value for investors, owners and occupiers of all commercial property types through a comprehensive perspective and by providing solutions grounded in sound market intelligence. Part of the Transwestern companies, the firm applies a consultative approach to Agency Leasing, Asset Services, Tenant Advisory + Workplace Solutions, Capital Markets, and Research & Investment Analytics.
The privately held Transwestern companies have been delivering a higher level of personalized service and innovative real estate solutions since 1978. Through an integrated, customized approach that begins with good ideas, the firm drives value for clients across commercial real estate services, development, and investment management. Operating from 33 U.S. offices, Transwestern extends its platform capabilities globally through strategic alliance partners whose unique geographic, cultural, and business expertise fuels creative solutions. Learn more at transwestern.com and @Transwestern.