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June 17-June 30, 2015 —
COLORADO REAL ESTATE JOURNAL
— Page 15
Colorado Springs/So. Front Range
by Jennifer Hayes
Colorado Springs’ largest apart-
ment community sold in the
fourth-highest-priced multifamily
transaction in the city’s history.
Salt Lake City-based RealSource
paid $47 million, or $89,015 per
unit, for Antero, a 528-unit apart-
ment community at 1432 Sandal-
wood Drive.
“This was a unique opportunity
to get over 500 units in a single
transaction. That appealed to both
new buyers
to Colorado
and existing
owners look-
ing to grow
their portfo-
lio quickly,”
Kevin McK-
enna of ARA
N e w m a r k
said of the
sale. McKen-
na, along with ARA Newmark’s
Doug Andrews, Jeff Hawks and
Saul Levy, represented the seller,
Real Capital Solutions, in the trans-
action.
ARA Newmark saw a number
of new buyers to the Colorado
Springs market pursuing the asset,
includingRealSource; thepurchase
of Antero represents its first multi-
family acquisition in Colorado.
Calls to RealSource regarding
the acquisitionwere not returned.
Real Capital Solutions acquired
Antero in 2012 and invested more
than $3 million in capital improve-
ments to the former Tanager
MeadowsApartment Homes.
“The seller did a fantastic job
renovating the property by adding
amenities like a new clubhouse,
dog park, playground and out-
door grill-picnic area,” commented
McKenna, as the seller’s unit reno-
vation program saw apartments
consistently producing $100 rent
premiums over nonrenovated
units.
“We were able to add a signifi-
cant amount of value to the prop-
erty during our ownership, to the
benefit of the residents, our inves-
tors and the new owners,” noted
Ken Cope, vice president of mul-
tifamily at Real Capital Solutions.
“Real Capital was able to reno-
vate about half of the property, or
about 260 units, prior to bringing
the asset to market. The buyer will
be able to continue this value-add
program into the future,” added
McKenna.
In addition to the value-add
component Antero offered, its
location also was key, McKenna
emphasized. In February, a sub-
sidiary of Sierra Nevada Corp.
announced plans to build a new
$88million facility east ofAntero at
Colorado Springs Municipal Air-
port’s business park.
“That location has some really
exciting job growth coming in the
next few years. The Sierra Nevada
announcement of 2,100 high-pay-
ing jobs just to the east is a huge
deal for that submarket and Colo-
rado Springs in general. Antero
should benefit tremendously as
those jobs are brought on line.”
Built in 1986, the community
also is near employers within
the defense industry, including
Northrop Grumman, ITT Exelis,
ITT Industries Inc., Doss Aviation,
Integral Systems Inc., Raytheon
Co. and DecisiveAnalytics Corp.
RealSource, which invests in
multifamily properties in select
areas across the United States, cur-
rently has approximately $400mil-
lion in assets representing 4,865
units under management.
Other News
n
Academy Corner LLC
paid
$1.95million, or $163.81 per square
foot, for a two-tenant retail build-
ing at the corner of North Acad-
emy Boulevard and West Monte-
bello Drive in Colorado Springs.
The 11,904-sf building at 5406-
5408 N. Academy was sold by a
trust, according to public records.
“The seller had relocated to
Texas and wanted to sell his prop-
erty in Colorado Springs,” said
Matt Ritter
of
Pinnacle Real
Estate Advisors.
“The two-tenant
retail property was a perfect fit for
our buyer.”
Ritter, along with Pinnacle’s
Jeff Johnson, Peter Sengelmann
and
Cody Stambaugh,
repre-
sented the buyer. The seller was
represented by
Dave Ankeney
of
Ankeney Inc.
Built in 1980, the property is
leased to a liquor store and a mat-
tress store and across the street
from a Target and Safeway-
anchored center.
n
Green Watt Power
and
Hammers Construction Inc.
broke ground on Green Watt’s
new 14,000-sf facility in northern
Colorado Springs at 11665 Ridge-
line Drive.
The facility will serve as the
headquarters for Green Watt
Power, a division of Calex Manu-
facturing Co. Inc., and primarily
will house warehouse and distri-
bution activities for the company.
GreenWatt Powermanufactures a
variety of power products, includ-
ing lithium ion battery chargers
for electric scooters, electric motor-
cycles, etc., as well as DC-DC con-
verters for electric vehicle applica-
tions and LED power supplies.
Anticipated completion and
move-in is anticipated in the
fourth quarter.
n
Xerox Commercial Solutions
renewed its lease at 2424 Garden
of the Gods Road in Colorado
Springs.
It renewed its office lease for
50,190 sf.
The landlord is
Verizon Busi-
ness Network Services.
Greg Phaneuf
and
Peter Sco-
ville
of
Colorado Springs Com-
mercial, a Cushman & Wake-
field Alliance
represented the
landlord.
s
Antero apartments sell for $47 million to RealSourceRealSource acquired the 528-unit apartment community in the fourth-highest-priced multifamily transaction
in Colorado Springs history.
Kevin McKenna