The Bascom Group, LLC has completed a $62.5 million refinancing of Viceroy Observatory Park, a 275-unit multifamily community located in Denver. Bascom acquired the property in May 2018 for $92.5 million.
Jamie Kline and Kyle White of JLL arranged the financing, with Shawn Cully and Roy Bezkostny of Prime Finance providing the $62.5 million loan. AMC will continue to provide property management services for the community, with SD-Cap overseeing property renovations and upgrades.
Originally developed in 2018, Viceroy Observatory Park is an exceptionally well-built property by Mill Creek Residential, a renowned national developer. The property includes 20% studios, 60% one-bedroom, and 20% two-bedroom units, offering a strong mix of floor plans. Viceroy Observatory Park features top-of-the-line community amenities with a pool and spa, a 2-story fitness center, outdoor BBQ area and fire pit, coffee bar, game room, dog wash station, bike storage, and mountain and Denver skyline views. Since acquisition, Bascom has modernized the pool area, enhanced security and exterior lighting, added Nest thermostats, and upgraded interior closets.
“While there are current headwinds in the capital markets environment, this refinance demonstrates continued lender interest in high-quality, well-positioned assets. We appreciate the efforts of the JLL Capital Markets team and are excited to continue executing the business plan for the asset” said Jim Singleton, senior vice president and principal of acquisitions for Bascom.
Denver’s multifamily market is showing signs of rebalancing as new supply deliveries slow and renter demand continues to absorb recently completed inventory. According to CBRE’s third-quarter 2026 market report, trailing 12-month net absorption totaled 7,346 units, compared with 6,481 completions. The quarter saw just 1,290 units completed, the lowest quarterly total in five years. Average occupancy was 93.9%, up 40 basis points year over year. Denver’s average rent per unit increased 0.6% quarter over quarter, marking a second consecutive quarterly increase, but remaining 2.9% below the prior year. The refinancing provides Bascom with additional time and flexibility to operate the property through the current market cycle while maintaining a focus on long-term asset performance.
Paul Zakhary, principal at Bascom, added, “Denver fundamentals are showing early signs of recovery which are reflected in Viceroy’s recent leasing and operational improvements. We have the right team in place to navigate the current market cycle and capitalize as demand strengthens throughout the metro.”
While many institutional buyers have remained on the sidelines during the multifamily pricing reset following the interest rate increases of 2022 and 2023, Bascom has continued to deploy capital. Since interest rates began rising, Bascom has acquired 16 multifamily communities totaling 3,718 units for more than $900 million. Those acquisitions span properties built from the 1960s through 2024, reflecting Bascom’s ability to identify opportunities across a wide range of investment strategies. Basom has been exceptionally active in the Colorado market over the past 18 years and was recognized as the state’s largest multifamily owner in the early 2000’s. Bascom has acquired 32 properties consisting of 11,082 units in Colorado, with a total capitalization of $1.3 billion.
