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Scott’s Addition building bought for $3.8M

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The Party Perfect building in Scott’s Addition sold for $3.8 million. (S.L. Nusbaum)

RICHMOND, Va. — A Washington, D.C.-based development firm has joined the party in Scott’s Addition.

An entity tied to Dalian Development, a company with a background in residential and mixed-use projects in dense areas, last week purchased the Party Perfect building at 3210 W. Marshall St. for $3.8 million.

Jeff Johnstone, owner of the locally based party supply company, bought the 50,000-square-foot building in 2010 to house Party Perfect, paying $2.1 million.

“I’m no real estate guru,” Johnstone said of last week’s sale. “Sometimes you’re just at the right place at the right time.”

The building and its 2.6-acre property was most recently assessed for $2.1 million, according to city property records.

Dalian, which is making its first inroads into the Richmond market with this deal, could not be reached for comment by press time.

The privately-held firm was founded in 2012 and has developed nearly 1,000 apartments throughout the Southwest and East Coast, according to its website.

Its new Scott’s Addition asset is positioned for a dense residential or mixed-use project given its recent mixed-use business district rezoning, which allows buildings up to 12 stories and reduces parking requirements.

“Right now it’s a land bank for them,” said Reid Cardon, a broker with S.L. Nusbaum who represented Dalian during the May 17 transaction. “They are buying the property for future development, but have no immediate plans at this time.”

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