Urban Investment Partners (UIP) has acquired Walker House, a 212-unit mid-rise apartment building in Gaithersburg, MD, for $31.8 million. CBRE represented the seller, Washington REIT, which has held the property since 1996. Capital One financed the acquisition.
Walker House is a fully occupied, well-maintained community of 196 rental apartments originally built in 1971, plus 16 garden apartments added in 2003. It is located just off Route 355 on Walkers Choice Road along the I-270 corridor of Montgomery County, MD, the 8th most affluent county in the nation. The property offers convenient access to the National Institute of Standards and Technology, IBM’s corporate campus, and many other employers, along with extensive shopping and entertainment options including the RIO Washingtonian Center.
UIP plans modest improvements for the older apartments and some of the common areas. Upon turnover, individual apartments will be renovated with updated cabinets and counters, appliances, lighting, and flooring. UIP also will update the existing residents’ fitness center, lounge, and other common amenity spaces.
“UIP is known for renovating Depression-era buildings in Washington, DC, but we also have been active in Prince George’s and Anne Arundel Counties in Maryland,” said Steve Schwat, Principal, UIP. “This is our first acquisition in Montgomery County, and we are actively looking for additional opportunities to bring our expertise to other properties in the District’s close-in suburbs.”
Added UIP Principal Peter Bonnell: “We have been honing our property management and asset management group for years. I am confident in our ability to absorb this asset into our highly focused and dedicated group, which also manages properties for other owners.”
The UIP family of companies owns and manages more than 2,500 apartments in Washington, DC and Maryland and has renovated, restored and built more than 25 downtown apartment buildings and condominiums over the last ten years. UIP’s primary focus includes “heavy lift” renovations, adaptive reuse of office properties, and working with tenants in Washington, DC, helping them exercise their TOPA (Tenant Opportunity to Purchase Act) rights. UIP also is active in entitling land, infill development, and acquiring residential assets in the close-in Washington, DC suburbs.