Alpine Investments Secures $20 Million Construction Loan for LoHi Condos
DENVER — Private real estate lender Knighthead Funding, LLC has provided Denver-based real estate investment and development firm Alpine Investments with a $20 million construction loan for Edge LoHi, the first new condominium development in Denver’s Lower Highland’s (LoHi) submarket in nearly a decade.
“It is no secret that Denver boasts one of the strongest economies in the United States, yet it is one of the most undersupplied condo markets among the major U.S. metros,” said Knighthead Principal Jonathan Daniel, who led the origination team with vice president Henry Boeckmann out of Knighthead’s Greenwich, CT office. “Much of the city’s impressive job growth is occurring downtown with the creation of thousands of new high paying jobs, particularly in the technology sector which has exploded over the past five years. Edge LoHi is located in one of the most vibrant and upscale center city neighborhoods and is well positioned in the market to take advantage of the strong condo demand in downtown Denver.
Edge LoHi was approximately 35 percent pre-sold at the close of financing, signaling the high demand for condo units in LoHi.
“LoHi has benefited from thoughtful growth over the past decade and has become an attractive option for those who want a neighborhood feel in Downtown Denver,” said Alpine Investments Managing Principal Churchill Bunn. “Its walkability combined with an attractive balance of retail and residential, appeals to both empty nesters and millennials, and Edge LoHi was designed to appeal to both demographics.”
When complete in 2019, Edge LoHi will feature 44 luxury one-, two- and three-bedroom floor plans ranging from 650 square feet to nearly 2,500 square feet. Starting at the low $400,000’s, each unit will feature high-end design elements such as quartz countertops, walk-in closets, balconies, wide plank wood flooring and premium appliances. The unit mix also will include two-story, loft-style penthouses on the fifth floor, each with its own fireplace, wine cooler, upgraded Viking appliance package, 17-foot floor-to-ceiling glass line and private terraces off the mezzanine level. Community amenities will include a dog spa, storage units, bike storage and repair room, lobby lounge with a fireplace and coffee bar, and secured building and garage access. The Edge LoHi also will feature 4,200 square feet of street-level, community-serving retail.
“Knighthead presented an attractive three-year, floating-rate non-recourse loan package that was extremely competitive, especially for a condo project in this market,” added Bunn. “The principals were extremely knowledgeable about the Denver market, which allowed them to fully understand our business plan. We hope to build a long-term relationship with them.”