The Baker Atrium Lofts apartment building at 1714 Summit Ave. (Photo by Burl Rolett)
A new owner is trying to move in on one of Richmond’s earliest historic tax credit renovation projects.
The Baker Atrium Lofts apartment building at 1714 Summit Ave. in Scott’s Addition is under contract to be purchased, according to Chris Chadwick, a broker working the sale for Marcus & Millichap Real Estate Investment Services.
The 40,000-square-foot apartment building went on the market about 75 days ago at an asking price of $4 million, according to the property’s listings.
Chadwick would disclose neither the buyer nor the selling price, but he said a private investor from the Washington metro area is the interested party. The deal is expected to close in August.
The Baker Atrium Lofts building, constructed in 1928, formerly housed the Baker Equipment Company. More than $1.8 million in building permits were issued for the property between 2005 and 2006, according to city records. The site was renovated in 2007 using federal and state historic tax credits.
“We spent a year and a half completely rebuilding it, just tearing it apart,” developer and current owner Larry Cluff said. “It was set up as a factory, and we turned it into apartments.”
The building houses 31 units and is 97 percent occupied, Chadwick said.
Cluff, through 1714 Summit Ave. LLC, bought the Baker Atrium property for $950,000 from Glen Baker of Baker Equipment Company in 2005.
He added another Scott’s Addition property in August 2012, purchasing the 5,742-square-foot City & Guilds building at 1726 Altamont Ave. from Virginia Commonwealth Bank for $375,000.
Cluff cited a favorable market as the reason for selling the Baker Atrium Lofts.
Brokers working big local apartment listings have said recently there are signs that it’s becoming a seller’s market. Clachan Properties put a portfolio of 198 student apartment units up for sale this month, and Cleveland-based Forest City is looking to unload Shockoe Bottom’s 700-unit Tobacco Row complex.
The Baker Atrium Lofts apartment building at 1714 Summit Ave. (Photo by Burl Rolett)
A new owner is trying to move in on one of Richmond’s earliest historic tax credit renovation projects.
The Baker Atrium Lofts apartment building at 1714 Summit Ave. in Scott’s Addition is under contract to be purchased, according to Chris Chadwick, a broker working the sale for Marcus & Millichap Real Estate Investment Services.
The 40,000-square-foot apartment building went on the market about 75 days ago at an asking price of $4 million, according to the property’s listings.
Chadwick would disclose neither the buyer nor the selling price, but he said a private investor from the Washington metro area is the interested party. The deal is expected to close in August.
The Baker Atrium Lofts building, constructed in 1928, formerly housed the Baker Equipment Company. More than $1.8 million in building permits were issued for the property between 2005 and 2006, according to city records. The site was renovated in 2007 using federal and state historic tax credits.
“We spent a year and a half completely rebuilding it, just tearing it apart,” developer and current owner Larry Cluff said. “It was set up as a factory, and we turned it into apartments.”
The building houses 31 units and is 97 percent occupied, Chadwick said.
Cluff, through 1714 Summit Ave. LLC, bought the Baker Atrium property for $950,000 from Glen Baker of Baker Equipment Company in 2005.
He added another Scott’s Addition property in August 2012, purchasing the 5,742-square-foot City & Guilds building at 1726 Altamont Ave. from Virginia Commonwealth Bank for $375,000.
Cluff cited a favorable market as the reason for selling the Baker Atrium Lofts.
Brokers working big local apartment listings have said recently there are signs that it’s becoming a seller’s market. Clachan Properties put a portfolio of 198 student apartment units up for sale this month, and Cleveland-based Forest City is looking to unload Shockoe Bottom’s 700-unit Tobacco Row complex.
“Cluff cited a favorable market as the reason for selling the Baker Atrium Lofts.”
Well, that and to avoid the 5-year federal tax credit recapture period. If the building was renovated in 2007 he would have been subject to tax credit recapture at a rate of 20% per year for every year he sold it ahead of 2012. For instance, if he would have renovated in 2007 and sold the building in 2008, the IRS could have clawed back 80% of tax credits he was granted.
Baker was a great Richmond Company.