Denver Apartment Community Offers Attractive Value-Add Opportunity
Arel Capital, a New York City headquartered investment firm representing close to $1.6 billion worth of real estate, has sold Cambridge Place, a 114-unit apartment asset located at 1260 S. Bellaire Street in Denver, close to the neighboring Glendale submarket.
Justin Hunt and Andy Hellman with Newmark Knight Frank (NKF) represented Arel Capital in the transaction. ColRich Multifamily, a San Diego based company primarily investing in the value-add spectrum, purchased Cambridge Place for an undisclosed price. “Cambridge Place allows us the opportunity to increase our Glendale portfolio, leveraging our local operation,” shared ColRich Multifamily CEO Danny Gabriel.
“Located near Glendale enclave, Cambridge Place offered an attractive value-add opportunity with a fully appointed amenity package for residents and a location offering a desirable unit mix, easy access to major employment centers along with strong retail and entertainment attractions, with major capital improvements completed,” stated NKF Executive Managing Director Justin Hunt.
“Cambridge Place also provides ColRich the opportunity to increase returns through the continuation of a value-add program. Currently, 53 of the units have undergone in-depth renovations to achieve higher rent premiums,” explained NKF Senior Managing Director Andy Hellman. “There are an additional 40 mid-level renovated units that could achieve even higher rental premiums with enhanced renovations in place. Market comps show neighboring communities of similar vintage with enhanced renovations achieving significant rental premiums.”
Constructed in 1967, the property features studio, one-bedroom, one bath and two-bedroom, one bath units in a two-building apartment complex situated on 1.85 acres. Cambridge Place showcases an outdoor swimming pool, a newly updated lounge and game room with Wi-Fi, on-site Bluetooth enabled laundry rooms, and on-site management and maintenance.
Photo courtesy of NKF