The nearly 5-acre plot on the south side of the Fan first hit the market in 2021. (BizSense file photos)
One of the largest real estate offerings in the Fan area in recent memory has been spoken for.
Dominion Energy has sold its real estate assemblage at 2400-2501 Grayland Ave. and 219 S. Stafford Ave. for a total of $15 million, city records show.
Three separate buyers bought a different parcel from the energy giant.
The largest of the three deals was closed by Audeo Partners, which bought a vacant three-story office building and a pair of warehouses at 2400 Grayland Ave. for $7.5 million. The D.C.-based developer is planning to convert the 101,000-square-foot complex into 125 apartments.
Audeo was previously under contract to purchase Dominion’s 1-acre parking lot at 219 S. Stafford Ave. and build more than two dozen townhomes on the site; however, the developer is now working on the office conversion only.
That change of plans opened the door for Richmond-based WVS Cos., which bought the Stafford Avenue parcel for $2 million and is taking over Audeo’s plans to build 26 townhomes on the vacant lot.
Lastly, a mystery buyer picked up 2501 Grayland Ave. for $5.5 million. The 1.7-acre plot had housed an auxiliary building until this spring, when Dominion razed it with the sale of the land pending.
It’s unclear from city property records who exactly the buyer was. It’s listed as 2501 Grayland Purchaser LLC, with no other clues as to who’s behind the entity.
Audeo Partners bought a U-shaped complex made up of a three-story office building and warehouse.
Dominion first put the assemblage on the market in mid-2021, though it began mulling the future of its Fan-area holdings in 2017 as it was wrapping up work on its 20-story office tower downtown.
The Fan-area parcels total 4.6 acres and were most recently assessed by the city at a combined $11.2 million. CBRE’s Jason Hetherington, Andrew Ferguson and Chris Wallace had the listing.
Audeo partner Madi Ford said the group is excited to have gotten the deal across the finish line.
“The world is a very different place economically than when we initially underwrote these projects and there were lots of twists and turns along the way,” Ford said in an email.
Madi Ford
Audeo’s buildings at 2400 Grayland Ave. are planned to be converted into 125 apartments, and Ford said the firm is hoping to have some of them rent for below market-rate.
“We are working with the City and hope to have 30 percent of the units reserved for those earning up to 80 percent of (Area Median Income),” Ford said, adding that there won’t be any commercial space in that project.
She said Audeo is hoping to begin work on the building in the next of couple weeks with eyes on a spring 2025 completion.
“The 2400 (Grayland) building is really special, and is sort of a ‘jewel-box’ project for us. I’m very excited to watch this building come to life,” Ford said.
WVS principal Richard Souter said that when the firm heard Audeo was shifting gears away from the Stafford site, his firm jumped at the chance to secure a rare, sizable lot in the Fan area.
“There really aren’t any contiguous pieces of land to allow for 26 new homes in the Fan. It’s unheard of,” Souter said.
While WVS is known mainly for its prolific development of large apartment buildings and mixed-use projects, including Rocketts Landing, Souter said the state of the financial markets make townhomes an attractive bet.
Richard Souter
“There is just such an undersupply of homes, and it’s very hard right now to make apartment buildings pencil out financially. So we thought that this is an opportunity that we could build some homes to add some supply to the market.”
Each of the townhomes will reach three stories, and some units are planned to have a rooftop deck and two-car garage.
Souter said the townhomes will be priced from the low $600,000s up to $1 million, and that WVS is aiming to deliver them in late summer 2024. He said One South Realty will market the units.
Souter said WVS is involved only in the 219 S. Stafford Ave. project. Ford said there are two separate ownership groups for the two Grayland Avenue parcels, and that Audeo is focused on the 2400 Grayland Ave. project.
The 1.7-acre lot at 2501 Grayland Ave. was cleared earlier this year.
WVS has some other sizable multifamily projects planned elsewhere in the city, including the final phase of its Locks development that’ll add over 250 apartments along the canal. It’s also planning more phases of South Falls, a riverfront apartment and condo project in Manchester.
Souter said high interest rates and construction costs have delayed those developments.
“We have a good number of projects that are kind of just sitting on the sidelines right now, waiting for the economics of the deals to make sense,” he said. “They’re projects on land that we own or control, so they’re projects that are going to happen. They’re just not happening this year.”
The nearly 5-acre plot on the south side of the Fan first hit the market in 2021. (BizSense file photos)
One of the largest real estate offerings in the Fan area in recent memory has been spoken for.
Dominion Energy has sold its real estate assemblage at 2400-2501 Grayland Ave. and 219 S. Stafford Ave. for a total of $15 million, city records show.
Three separate buyers bought a different parcel from the energy giant.
The largest of the three deals was closed by Audeo Partners, which bought a vacant three-story office building and a pair of warehouses at 2400 Grayland Ave. for $7.5 million. The D.C.-based developer is planning to convert the 101,000-square-foot complex into 125 apartments.
Audeo was previously under contract to purchase Dominion’s 1-acre parking lot at 219 S. Stafford Ave. and build more than two dozen townhomes on the site; however, the developer is now working on the office conversion only.
That change of plans opened the door for Richmond-based WVS Cos., which bought the Stafford Avenue parcel for $2 million and is taking over Audeo’s plans to build 26 townhomes on the vacant lot.
Lastly, a mystery buyer picked up 2501 Grayland Ave. for $5.5 million. The 1.7-acre plot had housed an auxiliary building until this spring, when Dominion razed it with the sale of the land pending.
It’s unclear from city property records who exactly the buyer was. It’s listed as 2501 Grayland Purchaser LLC, with no other clues as to who’s behind the entity.
Audeo Partners bought a U-shaped complex made up of a three-story office building and warehouse.
Dominion first put the assemblage on the market in mid-2021, though it began mulling the future of its Fan-area holdings in 2017 as it was wrapping up work on its 20-story office tower downtown.
The Fan-area parcels total 4.6 acres and were most recently assessed by the city at a combined $11.2 million. CBRE’s Jason Hetherington, Andrew Ferguson and Chris Wallace had the listing.
Audeo partner Madi Ford said the group is excited to have gotten the deal across the finish line.
“The world is a very different place economically than when we initially underwrote these projects and there were lots of twists and turns along the way,” Ford said in an email.
Madi Ford
Audeo’s buildings at 2400 Grayland Ave. are planned to be converted into 125 apartments, and Ford said the firm is hoping to have some of them rent for below market-rate.
“We are working with the City and hope to have 30 percent of the units reserved for those earning up to 80 percent of (Area Median Income),” Ford said, adding that there won’t be any commercial space in that project.
She said Audeo is hoping to begin work on the building in the next of couple weeks with eyes on a spring 2025 completion.
“The 2400 (Grayland) building is really special, and is sort of a ‘jewel-box’ project for us. I’m very excited to watch this building come to life,” Ford said.
WVS principal Richard Souter said that when the firm heard Audeo was shifting gears away from the Stafford site, his firm jumped at the chance to secure a rare, sizable lot in the Fan area.
“There really aren’t any contiguous pieces of land to allow for 26 new homes in the Fan. It’s unheard of,” Souter said.
While WVS is known mainly for its prolific development of large apartment buildings and mixed-use projects, including Rocketts Landing, Souter said the state of the financial markets make townhomes an attractive bet.
Richard Souter
“There is just such an undersupply of homes, and it’s very hard right now to make apartment buildings pencil out financially. So we thought that this is an opportunity that we could build some homes to add some supply to the market.”
Each of the townhomes will reach three stories, and some units are planned to have a rooftop deck and two-car garage.
Souter said the townhomes will be priced from the low $600,000s up to $1 million, and that WVS is aiming to deliver them in late summer 2024. He said One South Realty will market the units.
Souter said WVS is involved only in the 219 S. Stafford Ave. project. Ford said there are two separate ownership groups for the two Grayland Avenue parcels, and that Audeo is focused on the 2400 Grayland Ave. project.
The 1.7-acre lot at 2501 Grayland Ave. was cleared earlier this year.
WVS has some other sizable multifamily projects planned elsewhere in the city, including the final phase of its Locks development that’ll add over 250 apartments along the canal. It’s also planning more phases of South Falls, a riverfront apartment and condo project in Manchester.
Souter said high interest rates and construction costs have delayed those developments.
“We have a good number of projects that are kind of just sitting on the sidelines right now, waiting for the economics of the deals to make sense,” he said. “They’re projects on land that we own or control, so they’re projects that are going to happen. They’re just not happening this year.”
Congrats to all involved. I can’t wait until everyone sees the new construction townhomes Walter Parks designed for this site. They are the perfect blend of “Fan Style” architecture and character with an elegant modern touch.
Congrats to the boys from CBRE, another successful team of Harrison&Bates alumni. As we wind down and retire the old name, it’s good to see so many doing so well.
Congrats to Lory Markham of One South Commercial for putting this deal together!
I’m excited to see more development on underutilized land. However, I wish they would not keep the warehouse part connected to the office building. This area can support significantly more apartments and I wish Robinson St could appear more pedestrian friendly instead of seeing parked cars along so much of it south of Cary St.
I will take issue with their offer that 80% of the AMI is to be reserved for “affordable” housing. The AMI in that area is about $85,000. They’ll be agreeing to limit renting a certain number of one bedroom units to those making no more than $68,000. That kind of program is not going to resolve our affordability issues in the city. The RRHA Director, Darrell Davis, pointed out to me that even the popular 4% LIHTC program that limits a resident’s income at 60% of AMI is now ineffective in providing the housing to those in need of “affordability”.… Read more »
A developer has corrected me. The City AMI is now $109,400! Per Virginia Housing, an 80% “affordable” renter makes $85,000! Do we really think that’s a compelling reason to give tax breaks?
Congratulations Madi and Richard! Going to be a great project!
“The 2400 (Grayland) building is really special, and is sort of a ‘jewel-box’ project for us …”
Mike, can you please include information in your stories about when structures were built? Was this built in 1850? 1920? 2012? Thanks.
The 3-story office building was built in 1930, though the garage may be as bit older.
Charles S. MacFarlane is the registered owner of the LLC (which is past due on its annual registration fee). I see several other LLCs/businesses registered to him as well.
Similar entity name, however, we passed on the deal in early 2023.
Ah I see that now, my mistake. The mystery continues!
Souter said it right; there is a major lack of inventory for folks looking to purchase in the Fan and there are buyers waiting. A great opportunity to further improve this connection between Carytown and VCU and help the businesses along Cary Street.
The principal office address of the LLC (4938 Hampden Ln # 216, Bethesda, MD, 20814, USA) is the same address as an entity called “Greentree Brokers LLC”, which appears to be a natural consumer packaged goods company.
Corner of Robinson and Idlewood will be more of a nightmare, not to mention boulevard and Idlewood.