Newly Renovated Apartment Community in Arvada Sells for $4.95M
Knightbridge Capital, a Denver-based real estate investment firm, announced today the disposition of Newland Way Apartments, Arvada, a 23-unit property, built in 1972. Located at 5502 Newland Way, the property sold for $4,950,000; $215,517 per unit and $291.73 per square foot. The name of the buyer was not disclosed.
Acquired 14 months ago for $3,295,000, Knightbridge Capital was able to complete a full interior and exterior renovation and increase rental rates by 57 percent.
“This deal represented a strategic opportunity for Knightbridge Capital to execute on an acquisition, reposition and disposition of a multifamily asset within 14 months. This opportunity and subsequent execution fit perfectly with our business plan objectives,” said Matt Ritter, co-founder/principal at Knightbridge Capital. Matt is also a co-founder/principal at Pinnacle Real Estate Advisors.
Pinnacle Real Estate Advisors, Luke Salazar, Jim Knowlton and Robert Lawson, represented Knightbridge Capital in this transaction.
“We are very pleased to see the sellers’ investment strategy came to fruition on this sale by exiting at a record high price for one beds under 100 units in Arvada,” said Salazar, senior advisor at Pinnacle Real Estate Advisors. “The Knightbridge team drastically improved the property through capital expenditures and increased rents by roughly $500 per unit across the asset in less than 12 months.”
Ritter stated, “Luke, Jim and Robert and their team at Pinnacle did an amazing job during a tumultuous market environment, ultimately securing multiple offers. We were fortunate to be able to capitalize on our vendor relationships to renovate all unit interiors, common areas and exteriors in a short timeframe. Interior renovations included paint, carpet, appliances, countertops, flooring, plumbing, and light fixtures. In the common areas, renovations included paint, carpet, lighting, parking lot, exterior paint, new signage, and an updated courtyard.”
“We are now charged with finding a 1031 exchange property on behalf of our investors, which meet our opportunistic buying pattern. At Knightbridge Capital, we are somewhat agnostic to product type. Therefore, we welcome the opportunity to underwrite and consider any multifamily, retail or industrial property that can satisfy our exchange,” said Ritter.