Dealmaker: Jair Lynch Acquires Plaza Towers for $66M

Jair Lynch Real Estate Partners, Washington, D.C., acquired 288-unit high-rise Plaza Towers in Hyattsville, Md. for $65.8 million, or $228,929 per unit.

Transwestern Real Estate Services, Houston, brokered the transaction. Transwestern Executive Vice Presidents Dean Sigmon and Robin Williams, Vice President Justin Shay and Senior Associate Michael D’Amelio represented sellers Angelo Gordon & Co. and Donaldson in the transaction.

Jair Lynch Real Estate Partners launched its attainable housing strategy in 2019. It aims to increase and preserve affordable and workforce housing throughout the Mid-Atlantic region for families and individuals earning between 30 percent and 120 percent of the area median income. With this investment, Jair Lynch has exceeded its $400 million attainable housing goal.

“We recognize the need for attainable and workforce housing both within and surrounding the District of Columbia,” said Ulysses Auger, Jair Lynch Director of Acquisitions. “The goal is to protect affordability long term while taking steps to improve residents’ homes in the process.”

Delta Assocs., Washington, D.C., reported the Greenbelt/Hyattsville Class B submarket had only 4.4 percent vacancy as of September 2021 and 2.6 percent annual effective rent growth.

Built in 1964, the 11-story Plaza Towers sits just north of the East-West Highway at 6700 Belcrest Road. Nearby job centers include the University of Maryland, the USDA and the FDA. The closest Metro station is half a mile away.

“Plaza Towers is a strategic purchase by Jair Lynch and its partners as the immediate submarket is supply-constrained for multifamily product,” Williams said. “Only 46 apartments have been updated, which provides considerable upside potential to increase rental revenue through additional unit renovations and amenity enhancements.”