DENVER – Southern California-based Oak Coast Properties has acquired the Berkeley at Regis, a 132,129-square-foot, 127-unit vintage community located in the Berkley/North Washington submarket of Northwest Denver. The community sold for $31 million. The acquisition increases the company’s Denver property portfolio to 4,226 units.
With newly constructed apartments more commonplace, the region offers little opportunity for the acquisition and repositioning of older communities such as this one.
HFF arranged the sale of the property and procured a $22 million loan financing the acquisition. BLDG Management, a long-term property management partner of Oak Coast Properties, will oversee the community. The firm oversees and operates a 6,500-unit portfolio, which includes numerous additional Oak Coast Properties’ apartment communities in the region. Freeman, Freeman & Smiley LLP represented Oak Coast Properties as their legal counsel for the transaction.
“Employers and consumers continue to relocate to Denver’s metro, but housing still fails to keep up with the influx,” said Phillip Nahas, managing partner of Oak Coast Properties. “Our firm views these dynamics as proof that improving Denver’s older apartment stock is both a benefit to the community and a really great investment.”
“This acquisition is attractive to us as it aligns nicely with our value-add multifamily investment strategy,” added Nahas. “Once the community is repositioned, we believe it will succeed in attracting numerous renters as the units will provide high quality living spaces with lease rates sitting a bit lower than the newer nearby options.”
Berkeley at Regis is located adjacent to Willis Case Golf Course, Inspiration Point Park and Berkeley Lake. Regis University is nearby and the 70, 76, 121 and 282 freeways are all easily accessible from the community. Top regional employers include UCHealth: University of Colorado Hospital, Children’s Hospital Colorado, United Parcel Service (UPS), Amazon, FedEx, Sturgeon Electric, ADS Alliance Data Systems, SROriginals, Shamrock Foods and HealthONE: North Suburban Medical Center.
HFF’s investment advisory team responsible for marketing the property to Oak Coast Properties included Jordan Robbins of the firm’s Denver office. Charles Halladay and Rick Salinas of HFF’s debt placement team assisted in securing the $22 million acquisition loan for the buyers through Freddie Mac’s (Federal Home Loan Mortgage Corporation) CME Program.
Photo courtesy of Oak Coast Properties