Ulysses Development Group (UDG), a Denver-based mission-driven developer and owner of affordable and workforce housing, has announced the acquisition and rehabilitation of Columbine Towers in Denver, continuing to provide affordable housing for seniors and those with disabilities.
According to Kaufman Hagan Commercial Real Estate, the property sold for $34 million, averaging $200,000 per unit and $340 per square foot.
In partnership with U.S. Department of Housing and Urban Development, UDG has undertaken a Rental Assistance Demonstration 2nd Component (RAD 2) conversion facilitating the preservation of Columbine Towers, which currently consists of 170 homes over 14 floors and serves seniors 55+ and disabled individuals. As a result of the RAD 2 conversion,149 units will be assisted with a 20-year project-based Section 8 contract, and 21 units are restricted for those whose earning is at or below 80 percent of the area median income (AMI).
“Through the RAD 2 Conversion and restriction of current market rate units to 80 percent AMI, UDG is reaffirming our commitment to providing long-term affordable housing solutions to Colorado communities,” said UDG Partner Connor Larr. “The impact the community will feel when our rehabilitation of this property is complete will be significant. It will give seniors and those with disabilities a safe, quality and affordable place to call home at a time when housing is at a premium.”
Columbine Towers was built in 1964 and throughout its time serving the community has not been substantially renovated. As part of the RAD 2 Conversion UDG intends to significantly upgrade the community through a series of rehabilitation efforts, investing over $9 million. These upgrades will include elevator replacements, energy efficiency upgrades, accessibility conversions, and full unit upgrades, significantly improving the quality of life for current and future residents. Rehabilitation and construction will commence soon and is expected to be completed in the first quarter of 2025.
“Columbine Towers plays a key role in providing safe, affordable housing options for older adults and individuals with disabilities,” said Dr. Jamie Rife, executive director of Denver’s Department of Housing Stability. “Our city investment here underscores the important work we’re doing to preserve income-restricted homes for Denverites. We’re proud to see affordability continuing at Columbine Towers for decades to come, and we’re grateful to partner with UDG on this project.”
UDG worked with several partners to complete the acquisition of Columbine Towers, including the City and County of Denver who is providing $10 million through the Department of Housing Stability – City and County of Denver (HOST), Colorado Department of Local Affairs (DOLA) who contributed $5 million, Impact Development Fund (CDFI) who contributed $4.7 million, and Bellwether who is servicing a $27.7 million Freddie Mac loan.
“State investments in affordable senior housing, exemplified by transformative projects like Columbine Towers, mark significant progress in the State’s ongoing mission to ensure housing for all,” said Alison George, director of the Division of Housing for DOLA. “These investments not only highlight our commitment but also underscore our broader vision of fostering inclusive communities across Colorado. By prioritizing housing accessibility, we’re creating environments where every Coloradan can flourish, regardless of age or circumstance.”
