Washington DC Real Estate Investing
Morgan Stanley's real estate investing division and NVR Inc. are betting on a bright future for Washington DC real estate, as they have just acquired a portfolio of over 5,600 residential lots in the city. The lots are located in nine new community developments throughout the metro area. The companies didn't disclose the specific locations of the lots, or the total cost of the purchases.
According to a Morgan Stanley executive, they chose to invest in the DC market because it is one of the most supply-constrained in the US in terms of residential real estate. NVR is a residential builder that operates in 25 different cities nationwide. The company has recently seen sales and earnings decline as the national housing market continues to slump. Revenues fell 13% year on year and orders for new homes were down 18%, with cancellations rising 12%.