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January 21-February 3, 2015 — COLORADO REAL ESTATE JOURNAL — Page 15
Finance
by John Rebchook
Catherine Murphy of Chase, in
a flurry of recent deals, arranged
about $28.5 million in loans for
the acquisition and refinance of
apartment deals.
Most of the 17 transactions
were in Denver.
All but one of the loans carried
interest rates below 4 percent. All
of the loans were amortized over
30 years.
The single largest loan was for
about $4.65 million for the pur-
chase of the Alta Vera Apart-
ments at 1284 Downing St. in
Denver.
As earlier reported by the
Colorado Real Estate Journal,
Alta Vera, initially developed
as for-sale condominiums, was
purchased by the Chicago-based
Laramar Group.
The sale of the 20-unit building
equated to $357,500 per unit, a
record price by that metric.
The local seller was represent-
ed by Marc Lippitt and Scott
Shwayder, principals of the
Unique Apartment Group.
The seven-year, nonrecourse
loan arranged for Laramar by
Murphy has an interest rate of
3.92 percent.
Josh Mullins, director of acqui-
sitions for Laramar, was extreme-
ly pleased with the loan and the
service provided by Murphy.
“Chase, for a stabilized prop-
erty in central Denver, is hard to
beat,” said Mullins, who is based
in the Denver Tech Center.
He said this represents the
eighth loan Chase has provided
for Laramar.
Not only is the loan below 4
percent, but also he said “with-
out going into too much detail,”
Chase provided more interest
only on the loan than competi-
tors.
“Chase has a system set up
for strong borrowers with great
properties with low leverage in
this area of Denver,” Mullins
said.
It was crucial that Chase pro-
vided nonrecourse financing.
“We will not do a recourse loan
in today’s market,” he said.
Alta Vera was 100 percent
leased when Laramar bought it.
“I think we have one tenant
who has since moved out,” Mul-
lins said.
While many apartment build-
ing owners like to say that their
buildings are constructed to con-
do-quality, it is literally true with
Alta Vera.
“The for-sale market simply
was not there when it was com-
pleted in 2010, but the apartment
market is extremely strong,”
Mullins said.
“It is just a beautiful building.”
Other loans closed by Murphy
include:
• A $3.94 million nonrecourse
loan with Humboldt Residen-
tial LLC for the refinance of a
42-unit apartment complex at
1430 Humboldt St. in Denver.
The five-year, fixed-rate loan has
an interest rate of 3.39 percent;
• A $3 million recourse loan
with William Penn Apartments
LLC for the refinance of a 35-unit
apartment complex at 1644
Pennsylvania St. in Denver. The
seven-year, fixed-rate loan has an
interest rate of 3.67 percent;
• A $2.65 million recourse
loan with Tremont Investment
Group LLC for the refinance of
a 37-unit apartment complex at
1201 Clarkson Street in Denver.
The five-year, fixed-rate loan has
an interest rate of 3.41 percent;
• A $1.8 million recourse loan
with 15 Washington LLC for the
refinance of a 17-unit apartment
complex at 15 Washington St. in
Denver. The five-year loan has a
fixed-rate of 3.78 percent;
• A $1.69 recourse loan with
Ivy Flats LLC for the purchase
of a 17-unit apartment complex
at 1470 Ivy St. in Denver. The
seven-year, fixed-rate loan has an
interest rate of 4.08 percent;
• A $1.7 million recourse loan
with p9s LLC for the refinance
of a 16-unit apartment complex
at 999 Pearl St. in Denver. The
five-year, fixed-rate loan has an
interest rate of 3.41 percent;
• A $1.2 million loan with
Washington Arms LLC for the
refinance of a 31-unit apartment
complex at 1721 Washington St.
Shown is the Alta Vera apartment building.
Main Street Apartments was recently refinanced by NorthMarq.