FCP has made a $22 million preferred equity investment to support the development of a 305-unit apartment community adjacent to the West Falls Church Metro Station in Falls Church, Virginia.
The investment was made through FCP’s Structured Investments platform in partnership with Rushmark Properties, an experienced multifamily developer operating across the Washington, D.C. region and the Southeast.
The planned community will contain 305 apartments in a seven-story mid-rise building.
The project forms part of a larger 42-acre coordinated development across two jurisdictions that is planned to include retail, office space, apartments, senior living and for-sale residential housing.
Its location adjacent to the West Falls Church Metro Station is a major component of the development strategy.
Residents will have car-free access to employment centers throughout Northern Virginia and Washington, D.C., including Arlington, Tysons Corner and the Dulles Corridor.
The project is also close to shopping, grocery stores, restaurants and other amenities along the Broad Street corridor and is located within a highly rated school district.
FCP said the transaction reflects its strategy of investing in well-located multifamily developments backed by experienced operators and strong construction partners.
HITT will serve as general contractor.
The $22 million investment is FCP’s second announced preferred equity transaction in approximately 60 days, following its investment in Aventon Wesley Chapel in Florida.
The activity highlights FCP’s ability to provide structured capital to developers navigating a challenging financing environment where traditional construction capital can be more difficult or expensive to secure.
FCP has invested in or financed more than $14.8 billion of gross asset value since its founding in 1999.
The Federated Hermes subsidiary invests in both commercial and residential real estate through direct equity investments, structured investments and partnerships with operating companies.
Berkadia’s Patrick McGlohn, Brian Gould, Brian Crivella and Pat Cunningham represented the developer.
KEY QUOTE:
“This Falls Church transit-oriented community reflects our investment strategy, with a well-positioned, quality product developed under the direction of a highly successful development team and best-in-class general contractor in HITT.”
Billy Herbert, Senior Vice President Within FCP’s Multifamily Development Team
