Transactions Report Week of 01.15.18
CBRE Completes $71M Sale of Bella Springs Apartments in Colorado Springs
CBRE announced it recently facilitated the $71 million sale of the Bella Springs apartment community, located at 1050 Milano Point in north Colorado Springs. Dan Woodward, David Potarf, Matt Barnett and Jake Young with CBRE Capital Markets, Colorado Multifamily Investment Properties, represented the seller, Praedium Group of New York, to buyer Hamilton Zanze of San Francisco.
“Bella Springs combines a quality location with strong surrounding demographics and healthy historical fundamentals. The property has been well maintained by high-quality owners for more than a decade, while the ability to add value through unit upgrades is readily available,” said Young, Vice President, CBRE Capital Markets, Colorado Multifamily Investment Properties.
Built in 2001, Bella Springs is a garden style apartment community of 364 units. Offering a mix of one-, two- and three-bedroom floor plans, the average apartment size is 855 square feet. On-site amenities include covered parking, two swimming pools, a fitness center and clubhouse/coffee lounge.
Bella Springs is located in the North Gate neighborhood of Colorado Springs, down the street from Polaris Pointe, one of the area’s newest mixed-use developments with more than 50 shopping, dining and entertainment retailers. The property is located within Academy School District 20 with the U.S. Air Force Academy located nearby.
Pinnacle Announces Sales of 1530 Gaylord Street and 5220 West 5th Avenue
Pinnacle Real Estate Advisors, LLC announced the sale of 1530 Gaylord Street for $1,117,500 ($279,375 per unit; $324 per square foot). Associate Advisor Chris Knowlton, and Principals Robert Lawson and Jim Knowlton represented the seller in the transaction.
Built in 1902, this one-of-a-kind 4-plex is nestled between City Park, Capitol Hill, Cheesman Park and Congress Park and includes 8 parking spots behind the building. The property features completely updated units, including individual washers and dryers, as well as updated electrical and plumbing.
“This was one of the most well maintained converted mansions I have seen sell in a long time,” said Knowlton. “The buyers were in a 1031 exchange and this was exactly the type of turn-key asset they were looking for.”
Pinnacle also announced the sale of 5220 West 5th Avenue in Lakewood. The 9-unit building sold for $1,075,000 ($119,444 per unit; $147.46 per square foot). Principal Josh Newell and Associate Advisor Barton Thompson represented the local seller and the local buyer in the transaction.
HREC Arranges Sale of Holiday Inn Express & Hampton Inn in Glenwood Springs
HREC Investment Advisors announced the sale of the 65-guest-room Holiday Inn Express and the 70-room Hampton Inn, both located in Glenwood Springs. The buyer was Terrapin Investments and Management Corp, who will manage the hotels. CEO and HREC FounderMichael Cahill and Senior Vice President in the HREC Investment Advisors’ Denver office Jeffrey Duni exclusively represented Stonebridge Companies during the transaction.
“The Hampton Inn and Holiday Inn Express are ideally branded hotels for the predominately leisure-oriented travelers visiting Glenwood Springs, and provide management economies of scale given their adjacent location,” said Duni. “As tourism throughout Colorado continues to grow, the expected renovations to both hotels will offer high quality guest accommodations and support the overall improvement to Glenwood’s tourism experience.”
The town recently completed a major transportation infrastructure improvement and bridge replacement, the largest such project in western Colorado in over 25 years and will significantly enhance traffic flow throughout Glenwood Springs. Both hotels are expected to undergo renovations.
Inland Real Estate Acquisitions, LLC Closes Purchase of 408-Unit Multifamily Property
Inland Real Estate Acquisitions, LLC announced the purchase of Après Apartments, a 408-unit multifamily property located in Aurora. Mark Cosenza, senior vice president of Inland Real Estate Acquisitions, LLC, completed the deal with assistance from David Neboyskey, assistant vice president and associate counsel of The Inland Real Estate Group, LLC, Law Department, on behalf of an Inland affiliate.
Located at 1503 South Galena Way, Après Apartments consists of 17 three-story buildings with 196 one-bedroom and 212 two-bedroom units. Community amenities include a recently renovated clubhouse, fitness center, resident lounge, two swimming pools and a pet park. Units feature walk-in closets, a washer and dryer, fireplace and a private balcony or patio.
“Well-situated in Aurora, Après Apartments is located within the desirable Cherry Creek school district and offers residents with quick access to the Denver Tech Center, Buckley Air Force Base, the Denver business district and the University of Denver,” said Cosenza. “Its strong demographics and ideal location, coupled with our knowledge of the market, made this property an excellent example of the type of multifamily acquisitions we continue to seek out.”
As of Dec. 15, 2017, the property was 95 percent occupied.
Marcus & Millichap Announces Sales in Greeley and Fountain
Marcus & Millichap, a leading commercial real estate investment services firm with offices throughout the United States and Canada, announced the sale of the Franklin Flats, a 108-unit apartment community in Greeley. The asset sold for $15.4 million ($142,593 per unit). The price per unit is the second highest price ever achieved for a multifamily property in Greeley and is a record for properties built prior to 2001.
Nick Steele and Jacob Steele in the firm’s Denver office represented the seller in the transaction, a LLC comprised of several local investors. Alta Community Investments, a California-based real estate investment firm, acquired the apartment complex with a plan to continue renovations at the property.
“Franklin Flats was one of the highest yielding multifamily opportunities I have seen come to market in Colorado in the last several years,” said Steele. “The property has experienced very strong operations as a result of a number of property improvements made by the seller and the rapid growth of Northern Colorado.”
Built in 1972 and renovated extensively in 2015/16, Franklin Flats is situated on 4.45 acres located at 3208 West 7th Street, just off the Highway-34 business route through Greeley, in close proximity to retail area. Amenities at the property include a heated pool, a fully remodeled clubhouse featuring a business center, lounge and with kitchen for resident use, as well as a brand-new fitness room and playground. Additional amenities include a dog park, sun deck off the clubhouse and BBQ areas throughout the grass courtyards that separate the community’s buildings.
Marcus & Millichap also announced the sale of Fountain Ridge Apartments, a 36-unit apartment property, and Fountain Ridge South Apartments, a 75-unit apartment property, for a total $7.051 million. Price had the exclusive listings to market the properties on behalf of the seller, and secured and represented the buyer, a local non-profit.
Constructed in 1999 under the Section 42 Low Income Housing Tax Credit (LIHTC) program, Fountain Ridge Apartments is located at 410 Comanche Village Drive in Fountain. Fountain Ridge has a lucrative unit mix with all units configured into either a two-bedroom/two-bathroom (23 total) or three-bedroom/two-bathroom (13 total) floor plan.
Located at 6850 Red Deer Point, Fountain Ridge South was constructed in 2004, also under the Section 42 Low Income Housing Tax Credit (LIHTC) program. Fountain Ridge South consists of 75 total units and has a diverse unit mix consisting of the following floor plans: (20) one-bedroom/one-bathroom, (16) two-bedroom/one-bathroom, (20) two-bedroom/one-and-a-half-bathroom town homes, (7) two-bedroom/two-bathroom, and (12) three-bedroom/two-bathroom units.
- A joint venture between Security Properties and Oaktree Capital Management has purchased The Lodge on 84th, a 300-unit apartment complex in Federal Heights, for $46.5 million. Located at 1327 W. 84th Ave, the Class B, garden-style community was built in 1973. The property’s units are spread out across 25 residential buildings and 11 acres. Security Properties-affiliate Security Properties Residential will operate the community.
- Marcus & Millichap announced the sale of The Madison Townhomes, a 5-unit apartment property located in Denver, for $1.15 million. Greg Price and Ramin Khan, investment specialists in the Denver office, had the exclusive listing to market the property on behalf of the seller, a limited liability company. Located at 2721 N Madison Street in Denver, the building was built in 1964 and has gone through recent renovations, with a new roof and new parking lot.
- Marcus & Millichap announced the sale of Village Green, a 35-unit apartment property located in Lakewood, for $4.4 million. Greg Price and Greg Parker, investment specialists in the Denver office, had the exclusive listing to market the property on behalf of the seller, a private investor. The buyer, a limited liability company, was also secured and represented by Price and Parker. The 35-unit investment property features a mix of large one and two-bedroom units, off-street parking and on-site laundry facilities. The new ownership plans to upgrade the units to achieve market rents and hold the property as a long-term investment.