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 The Patrician, a 36-unit apartment building located at 1075 Corona Street in Denver’s Cheesman Park neighborhood. ARA Colorado’s Justin Hunt and Andy Hellman represented the seller, the Gruber family whose father and grandfather built many of Central Denver’s most iconic apartment buildings, most notably Poet’s Row at 1035 Sherman Street and The Avon at 1282 Detroit Street.
A local apartment real estate investment and management company purchased The Patrician for $6,300,000, representing a price per unit of $175,000, or $227.89 per square foot. The property was taken to market at $5,700,000.
Justin Hunt explained, “The competition which ARA was able to create helped organically increase the price and improve the contract terms for our seller. The in-place cap rate at the time of closing was 3.85%, which is astonishing considering the building was 1950s vintage, with non-renovated units.” He added, “Unsolicited offers have become more and more common in today’s world, however, given the tremendous amount of demand for buildings in central Denver, creating healthy completion ultimately leads to higher proceeds for sellers. Looking at sales in central Denver over the past six months, those assets which were actively marketed sold for nearly 34% higher on average than those which were sold off-market. During this period, ARA closed almost $50 million in central Denver apartment communities with an average price per unit of $132,000 and $233 per square foot.”
Constructed in 1955, The Patrician is located in the heart of Central Denver with immediate access to Cheesman Park, featuring a 1.44-mile jogging path and hundreds of public events throughout the course of the year. The property offers well-maintained hardwood floors throughout each unit, beautiful cove ceilings, fully appointed kitchens with the original vintage metal cabinets, triple-pane thermal windows, oversized balconies in select units, and underground parking, which is a very rare amenity for a 36-unit property. Residents are just blocks from fine dining, shopping, and numerous recreational activities. The property is located less than 500 feet from Whole Foods and just two blocks from King Soopers.
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, Justin Hunt at jhunt@arausa.com or Andy Hellman at hellman@arausa.com, or 303.260.4400.
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.