Arlington, Va., Hotel-to-Resi Project Sells for $35M – Commercial Observer
An extended-stay hotel in Arlington, Va., is set to be transformed back into multifamily housing.
GoodHomes Communities put down $35 million to acquire the Arlington Court Suites, a 187-key hotel that the buyer plans to convert into a 180-unit apartment building. KLNB announced the deal and, together with HREC Investment Advisors, represented the seller, Arlington Hotel Holdings, run by Sunburst Hospitality.
NewPoint Real Estate Capital provided a $34.6 million in financing for the property, Commercial Observer can first report.
The 219,000-square-foot development is at 1200 North Courthouse Road. It was built in 1963 as an apartment complex but changed to an extended-stay hotel in the 1980s.
With Arlington County approving the conversion back to apartments, the sale adds to the growing number of adaptive reuse projects in the region. Similarly, the deal extends GoodHomes’ redevelopment strategy to reposition aging hospitality assets into multifamily housing.
The KLNB team included Rawles Wilcox, Justin Shay and Dutch Seitz, and HREC’s team included Mark Morris and Scott Stephens.
Gregory Cornfield can be reached at gcornfield@commercialobserver.com.
Update: This article has been updated since it was first published to include the name of the seller, and to include information about financing.
