LAFAYETTE, CO - Atlanta-headquartered ARA, the largest full-service investment advisory brokerage firm in the nation focusing exclusively on the multihousing industry, is pleased to announce the sale of Strathmore Park, a 208-unit multifamily community located in Lafayette, Colorado in the desirable county of Boulder. The 193,428-square-foot property sold for $39,900,000 or $191,827 per unit.
The seller, Bouwfonds Strathmore Park LP, was affiliated with San Diego, CA based Fairfield Residential Company which has four regional offices in Georgia, Texas, Washington DC and Massachusetts. Fairfield is a recognized leader in offering quality apartment living in many of the nation's most desirable neighborhoods.
The seller was represented by ARA Colorado’s Principals, Doug Andrews, Jeff Hawks, Terrance Hunt, Shane Ozment, and Associate, Anna Stevens. The team’s successful track record and unique relationships provided the opportunity to sell Strathmore Park at the highest possible price.
The property was acquired by Denver-headquartered Griffis Residential. Griffis Capital is a multifamily real estate investment company that owns and manages nearly 5,000 class-A multifamily units across a portfolio of distinctive apartment communities. Average vacancy in the Boulder/Lafayette submarket has averaged 4.3% for the last thirteen consecutive quarters which is a historic low, and as a result, average market rents increased to $1.41 per square foot, a 5.22% increase year-over-year.
Constructed in 1999, Strathmore Park provides a great value-add opportunity for the new buyer. The asset is primed for repositioning through a unit upgrade program in order to maintain a competitive edge and to increase rents. The renter pool in the metro Denver market has evolved to expect a certain level of finishes, regardless of the age of the property, and Strathmore Park is the right vintage to appeal to the most aggressive value-add investors in our market. The property is also situated in the midst of Lafayette, a growing suburb that offers superb proximity to the Highway 36 employment corridor and Boulder.
According to ARA’s Doug Andrews, “Over the past three years, the Boulder market has experienced tremendous growth. Vacancies have reached record lows; rent growth has reached record highs; and capitalization rates, as a result, have steadily decreased.” He added, “Investors continue to aggressively underwrite newly available assets, which made this an incredible opportunity for Fairfield and its investors.”
Strathmore Park was 96% occupied at time of the sale.
To schedule an interview with an ARA executive regarding this transaction or for more information about ARA, nationally please contact Lisa Robinson at lrobinson@ARAusa.com, 404.990.4900 or Amy Morris at amorris@ARAusa.com, 404.990.4902; locally, Jessica Graham at graham@ARAusa.com or 303.260.4487.
About ARA: Atlanta-headquartered ARA is the largest privately held, full-service investment advisory firm in the nation that focuses exclusively on the brokerage, financing and capital sourcing of multihousing properties including conventional, affordable, distressed assets, notes sales, seniors, student & manufactured housing and multihousing land. ARA is comprised of the country’s top investment professionals who leverage a unique and fully integrated cooperative business platform of shared information, relationships and technology driven solutions. ARA’s unified enterprise approach ensures that clients are delivered the broadest asset exposure, effective matching of buyers and sellers, and the shortest transaction timeframes in the industry. The combination of resources, unparalleled market expertise and nationwide presence in the multihousing marketplace has resulted in an annual production volume of more than $10.2 billion in real estate transactions in 2013. For detailed information on ARA’s extensive multihousing investment services, visit www.arausa.com.