DENVER, CO - Atlanta-headquartered ARA, the largest privately held, full-service investment advisory brokerage firm in the nation focusing exclusively on the multihousing industry, recently brokered the sale of 1409 Gilpin Street in Denver, CO. ARA Denver-based Associate, Justin Hunt, represented the seller, a private local investor, in the transaction. A local, private investor purchased the property for $595,000, which represents a price per unit of $119,000, and a price per square foot of $141.67.
Constructed in 1902, 1409 Gilpin Street is 5-unit apartment community located just minutes away from Denver’s Cheesman Park, City Park, fine dining, museums, shopping, and downtown Denver. The property includes one studio unit, three one-bed/one-bath units, and one townhome.
1409 Gilpin Street was part of a 10 property, 72 total unit multifamily portfolio located in the Capitol Hill Neighborhood. All of the properties in the portfolio share an excellent central Denver location, just minutes away from employment, shopping, dining, and entertainment within the downtown Denver and prestigious Cherry Creek areas. Two properties sold in 2011 and 1409 Gilpin Street is the first to trade in 2012, all of which have been purchased by local, private investors. The remaining seven properties in the portfolio remain on the market to be sold individually or as a portfolio.
Beginning in 2010, Metro Denver has had one of the country’s top performing apartment markets and that trend is expected to continue through 2012. The fourth quarter 2011 vacancy rate was 5.4%, averaging 5.2% for the year, representing the lowest vacancy in a decade. As a result of tight vacancies and limited construction, effective rents in metro Denver increased 3.0% year-over-year to an average of $0.99 per square foot.
“1409 Gilpin Street was the second property sold from this portfolio in the past 45 days and both properties traded at the list price. The buyer purchased the property at a cap rate of roughly 6.5% and will be taking advantage of the opportunity to grow rents,” said Justin Hunt.
The property was 100% occupied at the time of closing.
To schedule an interview with an ARA executive regarding this transaction or for more information about ARA, please contact Lisa Robinson at lrobinson@ARAusa.com or 678.553.9360, or Amy Morris at amorris@arausa.com or 678.553.9366; locally, Justin Hunt at jhunt@ARAusa.com.
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 average annual production volume of $5.4 billion in real estate transactions since 2004. For detailed information on ARA’s extensive multihousing investment services, visit www.ARAusa.com.