Marking a bright spot amid a recent slowdown for local apartment sales, a complex in Manchester has just changed hands.
The Mill at Manchester apartments at 815 Perry St., formerly known as Perry Place, sold earlier this month for $14.8 million. The 70-unit property, located just south of the Manchester Bridge off Commerce Road, fetched over $211,000 per door.
The new owner is Putnam Mill LLC, an entity tied to Michael Brower, who could not be reached for comment.
Thalhimer’s Jenny Stoner represented the buyer and said her client is a “relatively small family shop.”
“My clients own a number of assets in the Washington D.C. area,” Stoner said in an email. “The Mill at Manchester Lofts is their first purchase in Richmond but they are looking to invest more heavily in the area in the coming years.”
The seller in the May 12 deal was Fulton Street Partners, another firm out of D.C. Fulton Street had bought the apartments in 2020 for $11.4 million. The nearly 50,000-square-foot building was formerly a paper mill and warehouse before Bill and Bob Watson redeveloped it into apartments in 2009.
The city most recently assessed the property at $10.4 million. Fulton Street was represented by Garrison Gore, Victoria Pickett, Charles Wentworth and Shawn McDonald of the recently launched Newmark Richmond office. The apartments were 95 percent occupied at the time of sale.
Stoner said her client is planning interior modifications to the apartments, including renovating common areas.
Throughout much of the last few years, the region’s apartment market had been red-hot, with multiple complexes regularly fetching around nine figures. However, in 2023, apartment deals are increasingly less common as developers and investors both adapt to the current economic landscape in which interest rates are significantly higher than they have been in recent years.
Newmark’s Gore said he’s noticed apartment sale volume is down and that it felt great to get the Mill at Manchester deal done in the current environment.
The units at the Mill at Manchester will also soon have some new neighbors. Directly across Commerce Road is the former Thurston Spring Services site, where The Beach Co. is planning to build a six-story, 263-unit apartment building. Beach Co. bought the Thurston site for $7 million late last year.