CalSTRS JV acquires Virginia apartment complex for $70m

Fresh from the purchase of a 40-building residential complex in the suburbs of Phoenix, CalSTRS has reportedly acquired the Ridgeleigh apartment complex in Alexandria, Virigina.

The California State Teacher’s Retirement System (CalSTRS) and Chicago-based real estate investment firm Waterton Associates have reportedly purchased the Ridgeleigh at Van Dorn complex in Alexandria, Virginia for $70.5 million (€51 million). The 360-unit property was converted into condominiums last year.

The complex, located in the Van Dorn area of Northern Virginia, was acquired through Waterton Residential Property Fund IX.

Waterton is planning $4 million of capital improvements on the complex. It bought the property from Fremont Investment and Loan after the property was foreclosed in May. The firm purchased 314 units of Ridgeleigh; 46 condo units had already been sold.

Last month, CalSTRS and Waterton acquired the 512-unit Biscayne Bay Apartments in Chandler, Arizon for $61.9 million from Falcon Southwest Development Corporation and Cargill. The property comprised 40 two-story buildings featuring one-, two- and three-bedroom units.

Waterton Residential Property Fund IX, the joint venture between CalSTRS and Waterton Associates, has $330 million of equity and an investment capacity of approximately $1 billion. The fund, which targets the multifamily market, is the third joint venture between the firm and the pension.