HFF Announces $30.777M in Financing for Two Denver-area Multi-housing Communities
Holliday Fenoglio Fowler, L.P. (HFF) announces $30.777 million in financing in two separate transactions for two Denver multi-housing communities; Estrella Apartments and The Avalon.
The HFF team worked on behalf of the borrower, Mountain View Capital, LLC, to secure the seven-year, floating-rate loans through Freddie Mac’s CME Program. A $13.275 million loan was arranged for Estrella Apartments and a $17.502 million loan was placed on The Avalon. Both securitized loans are refinancing existing Freddie Mac loans and will be serviced by HFF, a Freddie Mac Multifamily Approved Seller/Servicer for Conventional Loans. The borrower refinanced with a float-to-float strategy to recapture some trapped equity created by the significant renovations conducted at each property while also allowing for continued loan flexibility and additional interest only amortization.
Estrella Apartments comprises 194 units located at 7050 Pecos Street. The Avalon is located at 629-645 Wolff Street and consists of 235 units. Both properties have been renovated within the last year, each at least receiving more than $2M in renovations. The roofs at each property have been replaced, both properties have had the exteriors repainted, grounds have been improved with extensive interior unit renovations as well.
The HFF debt placement team representing the borrower included managing director Josh Simon and director Kristian Lichtenfels.
CBRE Completes $13.6 Million Sale of Fireside Apartments in Colorado Springs
CBRE announced this week that it completed the $13.6 million sale of the Fireside Apartments located at 620 North Murray Boulevard in Colorado Springs. CBRE’s Jake Young, Dan Woodward, David Potarf and Matthew Barnett represented the seller, WIP-Fireside, llc, A division of Meier & Shefflin Properties out of California. The buyer, Denver-based Blueline Equity Partners, purchased the property in a sale that closed Nov. 20. CBRE’s Brady O’Donnell, Jeff Halsey and Jill Haug arranged the acquisition financing.
“Colorado Springs is experiencing a resurgence as population growth is projected to remain strong and even outpace Denver. Quality of life and affordability have been the biggest drivers as residents continue to get priced out of Denver. The Airport submarket where Fireside Apartments is located is also seeing more than $100 million of new initiatives, leading to the creation of thousands of jobs. All of these fundamentals go a long way in drawing investor interest in a property,” said Jake Young, first vice president, CBRE.
Built in 1971, Fireside Apartments consists of 108 one and two-bedroom apartment homes across four rental buildings. Community amenities include a clubhouse/leasing office, business center, WiFi-enabled community room, outdoor swimming pool, on-site laundry facilities and fitness center. Prior to its sale, Shefflin Investments completed extensive capital improvements, including new roofs, windows and sliders; landscaping upgrades; new laundry room equipment; interior common area upgrades; the addition of secure building entrance doors; and the installation of a dog park.
Southern Land Company Completes Sale of its First Denver Apartment Community, Centric LoHi
Southern Land Company (“SLC”) has sold Centric LoHi, the luxury apartment community in the LoHi. Spread between two buildings between 18th and 19th Streets, Central Avenue and Boulder Avenue, the property was Southern Land Company’s first project in the Denver market. The sale closed Monday, December 17. 2018.
“We’re tremendously proud of the success of Centric LoHi, which introduced our high-quality, luxury placemaking to the Denver area,” said Tim Downey, Southern Land Company CEO. “It resonated quickly with the market, reaching 90% leased in just over 10 months, and today is a thriving community in one of the most dynamic neighborhoods in Denver. As with all of our projects, it was designed to thrive for decades to come, and we have full confidence it will continue to do just that under new ownership.”
CBRE’s David Potarf, Dan Woodward and Matthew Barnett represented the seller, Southern Land Company of Franklin, Tennessee.
Now near capacity, Centric LoHi features 42 studios, 50 efficiencies, 140 one-bedroom apartments and 70 two-bedroom apartments bolstered by upscale features including a resort-style, saltwater pool and hot tub, 24-hour fitness center and an on-site pet grooming salon. In addition, residents have flocked to its many courtyards, Club Room, game room, wine lounge, and the rooftop deck overlooking downtown Denver.
The mixed-use community also features 9,300 square feet of restaurant space, which now includes award-winning favorites like The Bindery, a concept from renowned local chef Linda Hampsten Fox which was voted 5280 Magazine’s Reader’s Choice Best New Restaurant for 2018, and upscale Italian café, Marcella’s.
A full-service development company, Southern Land Company executed every stage of the project’s lifecycle from land acquisition and to development through leasing to property management. This included incorporating a number of green features into the development, such as Energy-Star rated appliances, on-site recycling services and covered bicycle and ski equipment storage spaces.
“This is just the start of our work in Denver. We recently opened our Western office there, and we have two new multifamily communities under construction as well as a master-planned single-family community in development,” added Downey. “We see it as one of our most critically important markets. We love the city and love creating unique communities here.”
Up next for SLC are several major projects in Denver and its surrounding areas, including Uptown Denver, Reve Boulder, and a master-planned single-family community in Erie.
Marcus & Millichap Announces Sale of $12M 100-Unit Apartment Building in Northglenn
Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, announced the sale of The Riviera Apartments, located at 950 West 103rd Place in Northglenn, just 15 minutes north of downtown Denver. The asset sold for $12.025 million.
The seller, a private investor in this transaction, was represented by Greg Price, senior vice president investments, located in Marcus & Millichap’s Denver office.
“We received numerous offers from both existing local owners and out of state investors looking to enter the Denver Metro market, sourced by the nationwide platform Marcus & Millichap provides,” Price stated. This 68,080-square-foot, 100-unit apartment building was built in 1973 and sits on 4.1 acres of land. Both the listing and sales transaction were part of a court-ordered partition sale.
Pinnacle Announces the Sale of Trophy Asset in Capitol Hill
Pinnacle Real Estate Advisors, LLC announced the sale of 1003 Corona Street in Capitol Hill. The one-of-a-kind historic mansion with 6 additional rental units, built in 1906, is located walking distance to Cheesman Park. The property sold on December 11th for a contract price of $2,300,000; $328,571 per unit and $213 per square foot. The property featured a great unit mix of (1) studio, (3) 1BD, (2) 2BD, and (1) 4BD with garages and off-street parking, newer roof and newer boilers. Chris Knowlton, Associate Advisor, and Robert Lawson and Jim Knowlton, Principals, represented the Seller in the transaction.
“This was a great transaction for both the Seller and Buyer. After only a week of marketing the property, we were able to generate a full price cash offer for our client. This is a testament to our full spectrum marketing program as we put this property out to the entire market and we found a Buyer from California that saw this as a perfect fit for their investment needs,” said Chris Knowlton.
Etkin Johnson Sells Highland Tech Center for $8M
Etkin Johnson Real Estate Partners announced the sale of Highland Tech Center, located at 8925-8955 E. Nichols Avenue in Centennial, to 9000 Venice Partners for $8 million. Etkin Johnson was represented by Doug Viseur, Todd Witty, Jeremy Ballenger and Tyler Carner of CBRE. 9000 Venice Partners was represented by Tony Dorn of Beitler Commercial Realty Services.
“Highland Tech Center has been part of the Etkin Johnson portfolio for seven years, and we achieved a successful result with this sale,” said Derek Conn, partner at Etkin Johnson. “We are dedicated to working with 9000 Venice Partners to ensure a seamless transition for our tenants. We continue to evaluate new development and acquisition opportunities and expect to have some exciting news to announce in the near future.”
Highland Tech Center consists of three single-story multi-tenant office/flex buildings with 12-foot clear ceiling heights, dock-high doors and a scissor lift for grade-level loading. The office suites range from 7,418 square feet to 16,689 square feet. The property was 75 percent leased at the time of sale.
“Highland Tech offered buyers a chance to own a high-quality asset in a very desirable location,” said Tyler Carner from CBRE. “The property has been well managed and maintained, and buyers were drawn to the quality of the asset and strong demographics in the surrounding area.”
Located in Southeast Denver in the Highland Park area, Highland Tech Center is conveniently accessible to I-25, County Line Road and C-470. With frontage on Yosemite Street, the property offers easy access to Park Meadows Mall, Centennial Promenade, Centennial Airport, Arapahoe Road Retail Corridor and the Southeast light rail.
Colliers Sells Colorado Springs 65-Unit Apartment Complex for $8.75M
Colliers International Multifamily Advisory Group announced the sale of the Eagleview Apartments located at 1803 Prairie Road, Colorado Springs for $8.75 million ($134,615 per unit). The price resulted in the second highest price per unit in Colorado Springs for a property built prior to 1980. The buyer was a local investor represented by Brian Haggar with Marcus and Millichap. The seller, Denver based Skyline Real Estate Investment (SREI), was represented by Colliers brokers Craig Stack and Bill Morkes.
The property was acquired by SREI in September 2016 for $5.1 million ($78,460 per unit). The seller completed a successful renovation and repositioning of the property by updating most of the apartment units and common areas with modern appliances, flooring and fixtures. The property featured 65 units, a pool, playground, leasing office and workout facility.
Investors and residents alike are attracted to the Eagleview Apartments due to its attractive location situated in north central Colorado Springs, providing easy access to downtown, the northern Colorado Springs business parks and nearby retail.
