Fortress Investment Group Provides $59M Refi on Va. Multifamily Complex
Ellipse Urban Apartments opened in 2001 and has long been a popular destination for local military personnel in Hampton
By Brian Pascus August 13, 2025 1:32 pm
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Madison International Realty and The Accend Companies have secured $59 million to refinance Ellipse Urban Apartments, a 287-unit luxury apartment complex in Hampton in Virginia’s Chesapeake Bay region.
Fortress Investment Group provided the floating-rate loan, while the JLL Capital Markets team of Steven Klein, Jim Cadranell, Reina Abboud and John Cumming arranged the financing.
JLL’s Klein noted that the refinancing will allow ownership to expand its affordable Home 4 Now housing assistant program from 11 percent to 25 percent of total building units.
“Ellipse Urban Apartments represents a unique multifamily investment opportunity due to its high proportion of military personnel within the tenant base and specialized Home 4 Now program offering furnished units with flexible lease terms,” added Klein.
At 2001 Commerce Drive, Ellipse Urban Apartments opened in 2001 and consists of seven four-story buildings, featuring studios to three-bedroom apartments. On-site amenities across the complex include an outdoor pool, community gas grills, a clubhouse, a fitness studio, a business center, a pet spa and a game room, as well as several electric vehicle charging stations.
The apartment complex sits near Interstate 64, Interstate 664 and U.S. Route 60. The building has long been a destination for military professionals due to the nearby Langley Air Force Base and Naval Station Norfolk, both of which are less than 20 miles away. Nearly 50 percent of the building’s tenants are military professionals, according to JLL.
The Hamptom economy has been buttressed by aerospace and defense facilities like NASA Langley Research Center and the Virginia Air and Space Center, and is home to the Veterans Affairs Hampton Medical Center. Renters have taken notice: The market has seen multifamily rents rise 5.5 percent year-over-year since 2019, even as vacancy rates remain consistent due to surging supply, per JLL.
Brian Pascus can be reached at bpascus@commercialobserver.com.
