Colorado Real Estate Journal - October 18, 2017
A joint venture between Holland Partner Group and Pacific Life Insurance Co. acquired a “first-in-class” asset in Greenwood Village. The partnership paid $91 million for the 304-unit Alara at Greenwood Village, renamed Isabella Greenwood Village. “The property is a true first-in-class asset and is certainly in line for exceptional future rent growth, as the direct-access garages make it a very difficult product to replicate in the Denver Tech Center today,” said David Martin of Moran & Co. Martin and Moran & Co.’s Pamela Koster represented seller American Realty Advisors in the transaction. Constructed in 1995, the community at 5400 S. Park Terrace in the Denver Tech Center features 264 townhome-style units and 40 flats. Floor plans range from 812 to 1,485 square feet. The community includes a 24-hour fitness center, heated swimming pool and racquetball court. One-hundred percent of the units have direct-access garages, two-thirds of which are two-car garages. The property also enjoys easy access to downtown Denver, the southeast business corridor, a robust mix of retail amenities in the Village Plaza shopping center and the recreational Cherry Creek bike trail. Other News •Red Owl, a 46-unit apartment community featuring loft and townhome-style units in West Washington Park, will be completed early next month. “We wanted the design to respect the scale and rhythm of the neighborhood, so we ended up with a composition that gives every unit useable and functional outdoor space,” said Chris Fulenwider, president at CF Studio Architecture + Development, architect and co-developer at Red Owl. “We also emphasized energy efficiency using passive elements like large windows, outdoor circulation, and overhangs which will not only result in lower energy use, but they also become part of the character of the building.” Located at 66 S. Logan St. in Denver, the property includes studio to three-bedroom apartments featuring high-end kitchens with quartz countertops and stainless steel appliances. Each open floor plan unit also has private, outdoor space in the form of a balcony, courtyard, terrace or patio. Red Owl was named after the old grocery store of the same name on the adjoining lot that recently was remodeled and transformed into Alchemy CoWorking Space. “We took one look at the old Red Owl grocery warehouse and knew we could creatively repurpose the space as opposed to demolishing the classic barrel- roofed structure, giving it a new life,” said Fulenwider. “Chris and I wanted to create an authentic co-working space in the neighborhood that emphasized work-life balance and matched the positive entrepreneurial spirit of the city,” said Travis McAfoos, co-developer. Alchemy opened in early September and already attracted nearly a dozen companies inhabiting the space. As a part of that emphasis on wellness, the first floor of Alchemy also houses the newest expansion site for Endorphin, a Denver fitness studio. •An out-of-state buyer picked up a Littleton multifamily property for $8.95 million. The 57-unit property at 5579 S. Windermere St. was built in 1972 and last sold two years ago for $6.6 million. “The out-of-state 1031 exchange buyer flew out here and fell in love with the asset as soon as he toured the property and area with us,” stated Josh Newell of the Newell Team at Pinnacle Real Estate Advisors LLC. “This is one of the only midrise properties in the area, so it has great views and a strong presence on South Windermere.” Newell represented the seller in the transaction. Jeff Johnson, with the Johnson Ritter Team at Pinnacle, represented the buyer “At $157,018 per unit, this sale sets the bar for older, nonrenovated product, especially considering that Lynnewood is comprised of mostly one-bedroom units,” Newell added. The Lynnewood is located just off South Broadway near Historic Downtown Littleton. “The property had a large value-add component given the buyer’s extensive experience and strong history in apartment operations,” stated Johnson. •Greystone Unique Apartment Group, the multifamily division of Unique Properties Inc., recently brokered the sale of a 14-unit Denver asset. The community at 651 29th St. sold for $2.35 million, or $167,857 per unit. The walk-up style property was constructed in 1959. The property comprises eight one-bedroom units averaging 550 square feet and six two-bedroom units averaging 750 sf. Located in the Five Points neighborhood, the property is one block from the light-rail station and minutes to downtown Denver. The buyer and seller were not disclosed. •Steele Properties, a Denver based national real estate investment and development company specializing in affordable family, senior and disabled housing, acquired the Sleeping Ute Apartments. The 60-unit Project-Based Section 8 affordable community in Cortez was built in 1980. The nine-building property features two-, three- and four-bedroom units on 8 acres at 316 S. Madison St. Monroe Group Ltd. will continue to manage the property. “Steele Properties is very pleased to partner with the Housing Authority of the County of Montezuma, the Colorado Housing and Finance Authority, the U.S. Department of Housing and Urban Development and ANB Bank to successfully complete this acquisition that preserves much- needed safe, decent and affordable housing units in Cortez. This is especially important because Sleeping Ute Apartments is one of only 11 low-income housing properties in Montezuma County,” commented Stuart Heller, principal, Steele Properties. This project was financed by a conventional first mortgage provided by ANB Bank. The project was most recently rehabilitated as part of a 9 percent low income housing tax credit transaction in 2006. The sales price was not disclosed.