Breckenridge Plaza has new owner
Phoenixville apartment complex has new owner; being upgraded
PHOENIXVILLE >> A 92-unit garden apartment complex in Phoenixville is getting a major facelift.
Breckenridge Plaza Apartments on Nutt Road was sold March 7 to an affiliate of Friedman Realty Group Inc. The New Jersey-based real estate investment and management company specializes in the revitalization of apartment communities, shopping centers and office buildings.
The complex was purchased for $8.7 million, and David B. Friedman, owner and vice president of Friedman Realty Group said the company plans to invest another $3 million in improvements to the complex which he said has been neglected in the past.
“We really like what’s going on in Phoenixville — there’s a great energy and a vibrant downtown. We felt like it was an exciting place to be involved in and physically it meets our characteristics for investments,” he said.
Friedman said the company invests in garden style communities built in the 1960s or 1970 — what are called Class B developments. By comparison, Class A communities are brand new and 2000s construction.
“We like brick, we like pitched roofs and a mix of studio, one- and two-bedrooms. We like central HVAC. We can change a lot about properties — but we can’t change neighborhoods, so it’s location, location, location,” he added.
Renamed the Phoenix View Apartments, the complex is comprised of 48 two-bedroom
“We really like what’s going on in Phoenixville — there’s a great energy and a vibrant downtown. We felt like it was an exciting place to be involved in and physically it meets our characteristics for investments.” .
— David B. Friedman, owner and vice president, Friedman Realty Group Inc.
bedroom apartments, 40 one-bedroom apartments and 4 studio apartments. Built circa 1970, the threeacre property includes five 2½-story brick on block buildings with pitched roofs.
“We are very excited about unlocking the hidden value of this property,” said Brian K. Friedman, president of Friedman Realty Group in a release. “Our organization targeted this property for acquisition because it had been allowed to deteriorate for many years and we knew that upon implementing our renovation plan we would be able to take full advantage of its tremendous potential. This property has all the hallmarks of the type of asset we like — a value-add opportunity, solid demographics in a stable and growing area. We intend to make Phoenix View Apartments like a Class-‘A’ style building with affordable rents.”
The renovation is a multi-year project, according to David Friedman.
“This is a complete gut job. It‘s going to be an enormous effort to renovate and restore this property, but this is what we do,” he said. “We convert under-managed garden style apartments into modern, contemporary communities with state-of-the-art amenities that can compete with new construction.” The work has already begun.
“Right from the start we wanted to make a statement and show activity that has been lacking. We have removed all the landscaping and shrubbery and did some tree removal — which allowed us to open the view to the downtown,” David Friedman said. “We have signed contracts with contractors to do window and sliding glass door replacement and HVAC systems on the property.”
He added that the initial focus has been on common areas including entryways, parking, exterior lighting, landscaping, some common stairwells and hallways.
Specific exterior improvements also include: gable roof siding replacement; apartment deck and balcony replacements; decorative window shutters plus updated lighting; landscaping and signage; the repositioning of an inground pool and energy efficient windows and sliding glass doors.
The inside of the apartments will also be completely redone with new plank hardwood flooring in the living and dining areas; new bedroom carpeting; new kitchens with updated cabinetry and stainless steel appliances; quartz countertops and subway tile backsplashes. Bathrooms will be gutted and everything replaced, and all apartments will include individual stackable washers and dryers.
When Friedman Realty Group took ownership, the vacancy rate at the complex was about 42 percent, according to Friedman. He said that tenants can remain in their apartments through the renovations, and as their leases expire, they are being offered month-to-month leases.
The property’s prior ownership had not invested any capital for major or minor renovations and upgrades, with the exception of adding newer roofs and parking lots, all of which were required by the Borough of Phoenixville to address previous multiple code violations, according to the release. Inside the units, everything was original and in poor condition.
“We’re very excited about the project and look forward to making it an attractive place in the community,” Friedman added.
Phoenix View Apartments sits at the top of a hill at the intersection of Nutt Road and Bridge Street and is within onehalf mile from downtown Phoenixville.
Since 1975, Friedman Realty Group Inc. has restructured, repositioned and managed more than 150 investment properties located in New Jersey and Pennsylvania. For more information, visit www. frginc.com.