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Salt lakes real estate

Capital Square drops $1 million for site of future headquarters at Short Pump

A rendering of the planned new office building in West Broad Village. (Henrico County records)

One of the city’s busiest real estate companies has locked down the site of its future home.

Capital Square, which is currently based in Innsbrook, earlier this month purchased a 1-acre plot of land in West Broad Village where it plans to build a 65,000 square foot office building to serve as its new headquarters.

He paid $1.5 million for the grassy lot at 2301 Old Brick Road, in the middle of the mixed-use development anchored by Whole Foods. Capital Square filed plans for the office project earlier this year.

The grassy area of ​​West Broad Village has housed an outdoor skating rink in previous years.

The seller was Chicago’s Shopcore, which also recently sold the majority of retail properties in West Broad Village to a Florida company for $94 million.

Capital Square’s deal came almost exactly a year after it bought all 339 apartments in West Broad Village for $111 million.

The timeline for Capital Square’s move is unclear. Chairman Mike Waddell said in an email that the company’s next steps are to complete the design of the building and schedule construction to begin “when market conditions are more favourable.”

The West Broad Village deal wasn’t the only one Capital Square made to Henrico this month.

He also recently sold the Hickory Creek apartment complex at 2344 Hickory Creek Drive in the West End for $65 million to Utah-based NorthRock Cos.

The deal adds an additional 294 units to NorthRock’s rapidly growing local holdings portfolio. Since 2020, the Salt Lake City-based company has spent $361 million on 1,500 apartments in the Richmond area.

Its other local holdings include Glenmoor Oaks apartments in Magnolia Green, Innslake Place apartments in Innsbrook and The Point apartments in Beaufont in South Richmond.

The sale of Hickory Creek closed on October 24. Capital Square had owned the resort since 2019 when it paid $45.6 million, county records show.

While Capital Square has been mostly in a buying mood in recent years, with record deals like its September acquisition of Tapestry West apartments, it’s also not afraid to sell when the time is right. Last year, he sold the Maple Springs apartments to Henrico for $35 million.

Waddell said that with the Hickory Creek apartments, the company simply saw it as an opportunity to secure an “excellent price resulting in a strong bottom line for our investors”.

“We believe these opportunities will be limited in the current environment over the coming months,” Waddell said.

Capital Square is also working on a handful of major development projects in the city, including The Otis and N. Chasen & Son’s upcoming redevelopment projects in Scott’s Addition.

Mary Cashion

The author Mary Cashion