Colorado Multifamily Advisors

The Art District Flats presents a unique opportunity to acquire a brand-new luxury apartment building in a rapidly expanding neighborhood adjacent to Downtown Denver. The property has a unique unit mix of Studio, 1 and 2-bedroom units, as well as a wide array of appealing community amenities including: business/work area, fitness center, dog wash, secure indoor bike parking, community decks and private balconies. The property offers 6,400 square feet of retail divisible into functional layouts with dedicated parking. The Art District Flats has an unparalleled location in Denver’s Art District on Santa Fe, a famous corridor of hundreds of galleries, studios, theatres and creative businesses.  Through a variety of monthly exhibits, events and shows, Denver’s Art District on Santa Fe attracts thousands of visitors each year. The Art District Flats are within minutes of Denver’s main economic hubs including retail, medical, educational, and transportation. Some of the main hubs are Colfax at Auraria Light Rail Station – 0.4 Miles, 10th and Osage Light Rail Station – 0.7 Miles, 16th Street Mall – 0.8 Miles, Denver’s Central Business District – 0.9 Miles, Auraria Educational Campus – 1.0 Miles, Denver Health Medical Center – 1.2 Miles, Cherry Creek Shopping Center & Business Park – 3.3 Miles. Denver’s millennial population has recently grown by 18.7% with new residents wanting to live in and around downtown in such desirable locations as the Santa Fe Arts District.  The Art District Flats abounds with attractive amenities and retail options that millennial and other residents seek to live near.

1. Rents in Colorado Ski Towns Increase Demand for Affordable Housing

› Steamboat Springs, a premier Colorado ski resort and mountain town is only 45 minutes from the Timberglen Apartments
› Recently, Steamboat has experienced a flurry of new residents and home buyers leading to rising home prices, tightened inventory and high rents
› Local essential workers are being priced out and moving to nearby markets, like Craig, in order to cut down on their rent expense
› Increased relocation will likely lead to higher demand for apartments in Craig, allowing for higher rents and lower vacancy rates

 2. Craig is the Commercial and Industrial Center of Northwest Colorado 

› Three coal mining operations are located within a short distance of Craig, along with one of the state’s largest power plants
› The city is also a shopping hub for Moffat, Rio Blanco and Routt counties, as well as many people in southwest Wyoming 

 3. Craig Continues to Grow as a Local and Regional Tourist Destination 

› Craig is a hub for outdoor activities including camping, hunting, fishing and hiking
› It is known to be one of the premier hunting destinations in the world, attracting outdoors men every year, with many of them staying in Craig
› Given Craig’s nearly 2.5 million acres of recreational land available to the public, tourism contributes substantially to the local economy

4. Proximity to Economic Hubs and Employment Centers

The Timberglen Apartments are well located in Craig, with employment and amenities within minutes.

› Murdoch’s Ranch & Home Supply – 0.8 Miles
› Walmart Supercenter – 0.9 Miles
› Memorial Regional Hospital – 1.5 Miles
› Colorado Northwestern Community College –1.6 Miles
› City Market – 1.9 Miles
› Steamboat Springs – 43.9 Miles

5. Opportunity to Grow Rents by Implementing Unit Renovation 

The future owner has the opportunity to invest money into the upgrading of unit interiors in order to achieve higher rents. A renovation program that upgrades unit interiors will increase the buildings appeal to a broader spectrum of prospective tenants leading to higher asking rents.

1. Large Rent Discount Compared to Similar Adjacent Properties
2BD – approximately $1,303 below top comparable property
3BD – approximately $1,625 below top comparable property

2. Unique Unit Mix
True townhouse configuration, rare in region. White River Townhomes offer a mix of 2 and 3-bedroom units as well as a highly desirable 4-bedroom floor plan. The average square footage per unit is 1,158 square feet. Gas stoves with full central CAC/Heat (no baseboard heating). Full, side-by-side washer and dryer hookups in every unit. This unique unit mix appeals to a diverse group of prospective tenants while also allowing an owner to charge top of market rents. Panoramic mountain views and view decks. Nearby comparable town homes have an average list price of $262,725 or $184/SF.

3. Limited Competition and High Barriers to Entry
No property in the surrounding submarket shares the same quality of location and unit mix as the White River Townhomes. The future owner will acquire what is arguably the nicest community in Rifle, with limited adjacent competition. No available affordable multifamily sites in the area, within walking distance to Walmart/I-70 roundabout, Aspen Bus Stop/Starbucks, etc., render the subject impossible to replicate.

4. Proximity to Economic Hubs and Growing Demand
Rifle is in close proximity to many of the most popular and vibrant towns in the Rocky Mountain region. Due to increasing housing prices in Glenwood Springs, Aspen and Grand Junction, many workers and residents are moving to Rifle and commuting to job sites in surrounding areas. Rifle provides an affordable option to larger surrounding cities and resort towns.

REQUEST FOR PROPOSALS
The Owner of Lake Creek Village is seeking proposals from qualified investors for the preservation of this affordable housing asset. The owner will look at all proposals, including a sale or joint venture, and weigh proposals based on the following criteria:

• Maximum Rents Restricted to 75% AMI


• Total Price / Consideration for the Transaction


• Level of Involvement of Eagle County Housing and Development Authority


• Business Plan / Capital Improvement Plan

HIGHLIGHTS

Modern Unit Finishes & Spacious Floor Plans Attract Luxury Market-Rate Residents. The property has condo-quality finishes including custom cabinets, quartz countertops, and in-unit washer & dryer with 1x1, 2x2, and 3x2 floor plans averaging 788 square feet. The Social Fort Collins is just one block south of the Colorado State University (CSU) campus and less than 2.5 miles from Downtown Fort Collins. CSU is the second largest university in Colorado with 32,000 students and more than 7,000 employees. Annually, CSU attracts over $300 million in research funding and is consistently recognized as one of the country’s leading research universities. Fort Collins is one of the most populous cities in Colorado with a large, highly educated labor force and a high concentration of technology-focused Employers.