CBRE announced today that it has completed the $46.65 million sale of the Velo Apartment Homes located at 3481 South Fenton Street in Denver. CBRE’s David Potarf, Dan Woodward, Matthew Barnett and Jake Young represented the seller, Fowler Property Acquisitions of San Francisco. Los Angeles-based Jacobson Co. purchased the property in a sale that closed Dec. 6.
“Velo represents an incredible value-add opportunity with 240 units, full on-site amenities and an excellent west Denver location, adjacent to the Bear Creek Trail system. The property’s neighborhood setting, mature landscaping and complete rebrand positioned Velo to successfully compete at a high level,” said David Potarf, Executive Vice President with CBRE Capital Markets.
Built in 1986, Velo’s 240 apartment homes include both one and two-bed floor plans on a total 9.64 acres. Unit sizes average 834 square feet. Community amenities include a remodeled clubhouse with business center, leasing office, fitness center, large pool area and dog wash station.
Over the past few years the property has seen extensive capital improvement, including a complete rebrand with new exterior paint/stucco, common area upgrades, new equipment, system upgrades and landscape/irrigation improvements. Additionally, more than 150 units have been recently renovated with upgrades to flooring, appliances, hardware/fixtures and interior paint as well as painted cabinets, resurfaced countertops and washer/dryer installation (hook-ups in all units).
“Since completing major improvements in 2016/2017, Velo has experienced a remarkable transformation, which makes it stand out from other similar multifamily communities. While Denver is experiencing a development boom, there is little new apartment product under construction in this area specifically, which will further limit competition for years to come,” said Jake Young, First Vice President with CBRE Capital Markets.
Velo is located just off Highway 285 (West Hampden Avenue) between Sheridan and Wadsworth Boulevard in a west Denver infill neighborhood, with Lakewood to the north and Littleton to the south. Approximately 73,000 cars pass by the property daily along Highway 285. Several major job centers are within a five to 20-minute drive, including the Denver West Business corridor, the Denver Tech Center/Greenwood Village and Downtown Denver. The South Wadsworth Boulevard retail corridor also offers several million square feet of retail nearby.
About FPA Multifamily, LLC
FPA Multifamily, LLC is a private equity real estate firm focused on the acquisition, renovation and management of both core plus and work force housing apartment communities. Founded in 1985, FPA has owned over 104,000 apartment units valued at over $11.0 billion. FPA is currently investing through its value-add focused FPA Apartment Opportunity Fund VI which will acquire approximately $1.8 billion of assets and its core plus focused FPA Core Plus Fund IV which will acquire approximately $1.4 billion of assets. Headquartered in San Francisco, FPA also has offices in Irvine, Portland, Denver, Minneapolis, Dallas and Atlanta. For more information, please visit www.fpamf.com.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2019 revenue). The company has more than 100,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 530 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
