Newmark Multifamily announces the sale of The Meadows at Town Center, a 104-unit apartment community located at 10101 Washington Street in Thornton, CO. The multifamily property sold for $186,125 per unit.
Newmark Senior Managing Director Andy Hellman and Executive Managing Director Justin Hunt represented the seller, Freshwater Investments, a private equity real estate investment firm that acquires, renovates, repositions and manages multifamily communities across the U.S. Summit Communities, LLC, based in the Mile High City, purchased the property for $19,357,000. Additional transactional assistance was provided by Newmark’s Debt & Structured Finance group in Denver, CO.
“Meadows was a solid performer for Freshwater investors delivering the forecasted returns. It was a pleasure working with Andy Hellman, Justin Hunt and the entire Newmark team - who stayed on top of things throughout the transaction,” shared Freshwater Investments Principal and Managing Partner, Alex Rozenfeld. “We are happy the property is in good hands now with Summit Communities and wish them the best.”
“The Meadows at Town Center offered investors an exceptional opportunity to acquire a value-add, high barrier to entry asset with proximity to several large employment hubs and notable retail,” stated Andy Hellman. “While renters continue to be priced out of the Denver market, this location offers an attractive commute time to downtown, while still remaining affordable.”
San Francisco Bay Area-based Freshwater has over $150MM of total assets acquired in markets across the United States. The investment firm purchased the circa-1974 Meadows at Town Center apartment homes in September of 2016. Upgrades to 33 units completed at the property included new cabinet fronts, brand new appliances, wood-style flooring, a remodeled clubhouse and added fitness room. Surrounding demographics are well equipped to absorb rent increases through the continuation of the unit renovation program. Additional community amenities at the property include a basketball court, billiards, clubhouse, picnic area with barbecue access along with plenty of open lawn space, playground, on-site workout facility and swimming pool.
“This community offers residents larger units in a low density setting and provides an affordable alternative to homeownership,” added Hunt. “We see continued investor demand for these property types.
The Meadows at Town Center is located within the Thornton submarket, which has historically been one of the most difficult areas to build new product. Most of the Northern Denver submarkets have high barriers to entry given high utility tap costs, impact fees and costly land prices. This property is situated five minutes south of the future Thornton Crossing and 104th Station via the North Metro Rail Line, also known as the “N” line - line completion is set for late 2020. Meadows at Town Center provides direct access to the city’s major employment centers, retail and recreation. Located less than one mile from the property, the North Suburban Medical Center is a private general medical and surgical hospital with 139 beds. Maxar Technologies, a leading global provider of commercial high-resolution earth imagery products and services, moved its headquarters from Canada, bringing 800 new jobs with it. Park 12 Hundred, a 106-acre mixed-use redevelopment, offers one of the largest blocks of contiguous space in the Denver Metro Area.
Newmark (“Newmark”), operated by Newmark Group, Inc. (“Newmark Group”) (NASDAQ: NMRK), is one of the world’s leading and most trusted commercial real estate advisory firms, offering a complete suite of services and products for both owners and occupiers. Together with London-based partner Knight Frank and independently-owned offices, Newmark’s 18,000 professionals operate from approximately 480 offices on six continents. Newmark’s investor/owner services and products include investment sales, agency leasing, property management, valuation and advisory, diligence, underwriting, government-sponsored enterprise lending, loan servicing, debt and structured finance and loan sales. Occupier services and products include tenant representation, real estate management technology systems, workplace and occupancy strategy, global corporate services consulting, project management, lease administration and facilities management. For further information, visit www.ngkf.com.
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