The Breeden Company Completes Largest
Apartment Complex Acquisition in Area History

The Breeden Company has closed on the largest apartment property acquisition in Hampton Roads history. Effective December 15, 2004, the Virginia Beach-based corporation owns Emerald Point Apartments, an 863-unit complex off Laskin Road near the Oceanfront. The firm’s total investment, including planned upgrades, will be $68-million, nearly half of its goal of $150-million in real estate acquisitions for 2004-2005. Actual purchase price from Emerald Point Associates (Morgan Properties of Pennsylvania) was $63-million.

“For most of our history, we have focused almost exclusively on ground up development,” says Ramon W. “Ray” Breeden, Jr., Owner and CEO of The Breeden Company. “We established an acquisitions department just this past March so we are pleased that our first announced purchase is as substantial and significant as Emerald Point.”

The addition of Emerald Point Apartments boosts the value of Breeden’s real estate portfolio, which includes a host of leading residential and retail properties in eastern and central Virginia, to more than $400-million. “We are very interested in increasing our holdings in Virginia because of the potential for consistent growth,” says Breeden. “Investors seeking solid returns are taking notice and making inquiries.”

Emerald Point, completed in 1972 and located near the Hilltop shopping district and the I-264 Laskin Road/Virginia Beach Boulevard exit, features a host of popular amenities including two pools, tennis courts and ample green space. “The buildings and grounds are in very good condition,” says Tim Faulkner, President of Breeden Property Management. “However we intend to replace the roofs, the sidings, windows and doors and make other improvements to benefit our tenants.” No current residents will be impacted during the renovations.

Brokers Andy Boyer and Dan Johnson of C.B. Richard Ellis Inc. represented the seller in the transaction. Arthur T. Gormley, III Vice President/Branch Manager GMAC Commercial Mortgage arranged the financing.

“We believe Virginia Beach is an excellent market with a strong economy and low rental vacancy rate that should continue for some time,” says Faulkner, who also heads up the new acquisitions division. “Since the spring, we have received a number of solicitations to buy properties, but we have been very selective. Emerald Point met our criteria so we pursued it.”

If the past is any predictor, the company will retain ownership of its new asset for some time. “In the 43 years I have been in the real estate business,” says Ray Breeden, “we have developed some 80 projects, and we still own and manage practically every one. We enter into a venture for the long haul, and both our lending partners and tenants know they can depend on us for sound financial integrity, income growth and customer service.”

Among Breeden’s many development holdings are such highly regarded properties as Renaissance Shopping Center and Chapel Lake Apartments in Virginia Beach, Eagle Harbor Shopping Center in Isle of Wight County, Featherstone Apartments in Newport News and Reflections Apartments in the fast-growing west end of Richmond.

More information on The Breeden Company, which is headquartered on Lynnhaven Parkway, is available on the company’s website at www.thebreedencompany.com or by calling 757-486-1000.