There were more traditional type of investors as well, such as restaurateurs and apartment and condo developers and even a youth hostel for overseas student visitors he added.

The winning bidder, though, was another bed and breakfast owner who partnered with a developer that owns buildings on H street, Barreiro said.

Ironically, in other words, Georgetown Inn is staying close to its old-school roots despite the fierce pursuit by other style of investors.

And the final irony, perhaps most of all for the buyer, is that the competition for the Inn was likely the reason the property sold for its full asking price, Zupancic told GlobeSt.com. “Part of the reason price went to where it was was because there was such much competition for the property. We herded all those cats and helped harness their demand.”

Ten years ago, there would have been a very limited pool of buyers for this type of property, he said.

The new owners, though, didn't overpay for the asset. They were able to best compete because their build out costs for renovations are going to be minimal especially compared with the other investors.

The condo developers, for example, estimated they would need to spend $1,000 per square foot for a build out, which meant their offer was much lower than the asking price. Likewise the restaurant owners interested in the property — they, too, could not afford to offer much more than $1 million because of the related build out costs.

The buyer is continuing with the same use, though, so it could offer what the estate was asking.

Steady gains in the US economy have resulted in net positives for the multifamily sector—will this wave continue for the foreseeable future? What's driving development and capital flows? Join us at RealShare Apartments on October 19 & 20 for impactful information from the leaders in the National multifamily space. Learn more.

WASHINGTON, DC–After twenty-five tours and five offers, Georgetown's Canal Inn has sold at its full list price of $2.25 million, or $672 per square feet.

The 3,350-square foot Inn is about as old school Washington DC as one can get. Located at 1061 31st St., NW on Georgetown's C&O Canal, it was built in 1831 and renovated in 2012. It has had many uses, including serving as an warehouse-distribution facility that used the canal for transportation at one time. Over the past three years it has been a bed-and-breakfast operated by a local innkeeper.

Unfortunately the innkeeper died and the Inn was put on the market by the estate, thus adding yet another small chapter to DC's real estate history: namely, this old-school property with its quaint business model was pursued fiercely by investors from the Airbnb era. There were co-working and co-living companies interested in buying it as well as investors interested in turning it into a Airbnb, Marcus & Millichap's Christian Barreiro tells GlobeSt.com. Barreiro, along with Marty Zupancic and Peggy Brooks Smith represented the estate in the sale.

“The Inn has ten rooms and a loft and each has a separate bathroom, which afforded us as brokers a wide range of potential investors and buyers,” he said.

There were more traditional type of investors as well, such as restaurateurs and apartment and condo developers and even a youth hostel for overseas student visitors he added.

The winning bidder, though, was another bed and breakfast owner who partnered with a developer that owns buildings on H street, Barreiro said.

Ironically, in other words, Georgetown Inn is staying close to its old-school roots despite the fierce pursuit by other style of investors.

And the final irony, perhaps most of all for the buyer, is that the competition for the Inn was likely the reason the property sold for its full asking price, Zupancic told GlobeSt.com. “Part of the reason price went to where it was was because there was such much competition for the property. We herded all those cats and helped harness their demand.”

Ten years ago, there would have been a very limited pool of buyers for this type of property, he said.

The new owners, though, didn't overpay for the asset. They were able to best compete because their build out costs for renovations are going to be minimal especially compared with the other investors.

The condo developers, for example, estimated they would need to spend $1,000 per square foot for a build out, which meant their offer was much lower than the asking price. Likewise the restaurant owners interested in the property — they, too, could not afford to offer much more than $1 million because of the related build out costs.

The buyer is continuing with the same use, though, so it could offer what the estate was asking.

Steady gains in the US economy have resulted in net positives for the multifamily sector—will this wave continue for the foreseeable future? What's driving development and capital flows? Join us at RealShare Apartments on October 19 & 20 for impactful information from the leaders in the National multifamily space. Learn more.