Henrico apartments fetch $45.6 million

A Henrico County apartment property is under new ownership after spending just over a month on the market.

Capital Square Acquisitions LLC has bought the 20.4-acre Hickory Creek Apartments for $45.6 million, according to Colliers International. The sellers of the 294-unit property were McCann Realty Partners and Artemis Real Estate Partners.

The buyer in the deal is tied to Capital Square 1031, a real estate investment and management firm based in Henrico County around the Innsbrook area. Capital Square 1031 did not immediately respond to an inquiry Monday.

Payton Herschberger, a Colliers due-diligence coordinator based in Atlanta, says Hickory Creek was on the market for five weeks before it went under contract. She says there was a great amount of interest on the property in what was a competitive process.

“The property was in high demand,” says Herschberger.

Hickory Creek is the 74th property Capital Square has added to its investment portfolio, according to a company press release.

The previous ownership group bought Hickory Creek Apartments in 2016 for $28.5 million, according to Henrico property records online, which had yet to record the recent sale. The property was most recently assessed at $34.97 million.

The multifamily community, built in 1984, has 294 apartments units in 19 residential buildings. Hickory Creek’s amenities include a swimming pool with a sundeck, fitness center, lighted tennis courts, pet park and a car wash area. Since 2016, the property has seen more than $2 million in capital improvements, according to Capital Square.

Capital Square specializes in so-called 1031 exchanges, which allow investors to defer paying capital gains taxes on the sale of investment properties as long as a similar property is bought with the profit gained by the sale of the first property.

McCann and Artemis were represented in the deal by Will Mathews of the Colliers International East Region Multifamily Advisory Group; Charles Wentworth; Rawles Wilcox; G.S (Hank) Hankins; Victoria Pickett; and Clay Ellis of the Colliers Mid-Atlantic Team.