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COLORADO REAL ESTATE JOURNAL
— October 21-November 3, 2015
Colorado Springs/So. Front Range
by Jennifer Hayes
A Miami-based real estate
company grew its multifam-
ily presence in Colorado with
its acquisition of a Colorado
Springs community with an
“unmatched” location in the
city.
Advenir Inc. paid $37.25
million, according to public
records, for Sunset Creek, a 310-
unit community located near
Colorado Springs’ fastest grow-
ing developments.
“The location is at the epicen-
ter of everything that is new and
exciting in Colorado Springs,”
Kevin McKenna of ARA New-
mark said of the community
at 5400 N. Nevada Ave. “The
University of Colorado Colo-
rado Springs, the fastest grow-
ing campus in Colorado, is just
across the street and the busi-
est retail center in town, which
includes Costco and Trader
Joe’s, is next door. A new hospi-
tal is under construction to the
north and the property backs
up to the Santa Fe Trail system.”
Advenir saw tremendous
value in Sunset Creek not only
due to its location but also its
exceptional setting and low lot
density, added McKenna.
“Sunset Creek sits on a mas-
sive 27-acre lot. It’s one of the
largest multihousing sites in
Colorado Springs, making it
one of the least dense commu-
nities in the market at only 11
units per acre. These elements,
combined with the property’s
proximity to local attractions,
make the acquisition an inimi-
table opportunity for Advenir.”
McKenna, along with ARA
Newmark’s Doug Andrews,
Jeff Hawks and Saul Levy, rep-
resented seller Seagate Sunset
Associations LLC in the transac-
tion. Seagate acquired the com-
munity, constructed between
1966 and 1969, in 2012 and spent
nearly $2.5 million in property
improvements before bringing
the community to market.
“They did a fantastic job reno-
vating the clubhouse and pool
area, bringing it to a level that
is competitive with Class A
communities. They also reno-
vated roughly 10 percent of the
units and achieved notable rent
increases as a result. The buyer
plans to pick up where Seagate
left off by continuing the value-
add program throughout the
interior.”
The value-add aspect coupled
with its location spurred the
double-digit offers received on
the asset, he added.
At the time of sale, Sunset
Creek was approximately 90
percent occupied.
McKenna and Levy also
recently represented the seller
of the Wind River Place apart-
ment community in Colorado
Springs.
Vukota Capital Management
added to its Springs portfolio
with its $7.51 million purchase
of the 120-unit community at
919-935 N. 19th St.
Constructed in 1973, Wind
River has consistently had a
historical occupancy above 95
percent, with 98 percent occu-
pancy at the time of sale.
“We had a number of inves-
tors looking for an opportunity
to acquire a turnkey asset in a
desirable location. This prop-
erty’s buyer will have a strong
return without having to push
rents through a renovation pro-
gram and can ride the wave of
a rapidly improving rental mar-
ket,” said McKenna.
The property has had several
capital improvements, includ-
ing updated double-pane vinyl
windows, new paint, signage
and a full parking lot reseal and
stripe.
“The property is located in
arguably the strongest submar-
Sunset Creek is located near the University of Colorado Colorado Springs and the University Village Colorado
retail center.
‘The location
is at the
epicenter of
everything
that is new
and exciting
in Colorado
Springs.’
– Kevin McKenna,
ARA Newmark
