FCP has sold an 11-property multifamily portfolio, totaling 1,731 units, representing the largest group in its “Apartments of St. Charles” portfolio, for $302 million to an affiliate of Strata Equity Group. The properties are located in St. Charles, Md.
This transaction represents Strata Equity Group’s first investment into the mid-Atlantic region.
FCP acquired the portfolio in December 2009 as part of its American Community Properties Trust (formerly NYSE: APO) acquisition for $43.6 million plus the assumption of debt. FCP subsequently privatized APO. The initial APO purchase included 3,200 multifamily units, 230,000 square feet of office space and more than 4,500 acres of land entitled for over 11,000 residential units and 5 million square feet of commercial development. Most assets were located in St. Charles, Md., and Puerto Rico.
Over the past eight years, FCP repositioned and sold portions of the APO portfolio. Early dispositions included interests in a Florida homebuilder and apartments in Baltimore and Richmond. In August 2017, FCP sold 2,400 acres of residential property entitled for more than 7,000 homes in St. Charles to Lennar Corporation for $53.7 million. Other material commercial land dispositions in St. Charles included the $13 million sale of land to CPV for the construction of its 725-megawatt natural gas-fueled power plant, the $9.2 million sale of land to Aggregate & Dirt Solutions and Clean Earth of Greater Washington for industrial recycling, and the sale of the St. Charles office building for $5 million. FCP maintains ownership of five apartment communities and more than 288 acres zoned to accommodate 208 market-rate and 180 active-adult apartments, 160,000 square feet of neighborhood center retail uses, and over 2 million square feet of heavy industrial use.
