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Page 14 — Multifamily Properties Quarterly — August 2019 www.crej.com TO ACCESS THE COLORADO MULTIFAMILY REAL ESTATE MARKET, CONTACT THE MARKET LEADER. CREATING INVESTOR VALUE THROUGH EXPERTISE Maximizing value starts with our unparalleled market expertise. By leveraging in-depth local market knowledge, we help each client design the right investment strategy. Our sales force of nearly 2,000 investment professionals provides access to the largest pool of quali ed investors, including one of the most extensive databases of exchange buyers. At Marcus & Millichap, achieving optimal results for clients is not just a goal, it’s a 48-year tradition. O ces Throughout the U.S. and Canada www.MarcusMillichap.com BELOW IS A SAMPLING OF OUR RECENT ACTIVITY 15-Unit Multifamily NWWash Park (Denver), CO 97-Unit Multifamily Littleton, CO 57-Unit Multifamily Grand Junction, CO 176-Unit Multifamily Aurora, CO AVAILABLE AVAILABLE Real Estate Investment Sales » Financing » Research » Advisory Services SPECIALIZATION » EXPERTISE » RESULTS 55-Unit Multifamily Pueblo, CO Greg Price Senior Vice President Investments Senior Director, National Multi Housing Group Denver O ce (303) 328-2047 greg.price@marcusmillichap.com Jason Hornik - Associate jason.hornik@marcusmillichap.com Greg Parker - Associate greg.parker@marcusmillichap.com AVAILABLE JUST CLOSED JUST CLOSED Corey Anderson - Associate corey.anderson@marcusmillichap.com Kent Guerin - Associate kent.guerin@marcusmillichap.com Development T ransit-oriented development is quite the buzz word in the real estate industry these days, and for good reason. It’s no wonder the Colorado market is continuing to see a rise in the demand for this product. Not only does it make good business sense, but also it brings unique ben- efits for the environment, the end user and the community. According to a recent article in Westword, nearly one in three Den- ver renters is considering moving somewhere else, with rising rent costs among the biggest factors. Recent surveys have shown that for a reduction as little as $200 per month, renters are willing to move farther from work and commute. With many large employers based in Denver, renters are shifting to tertiary markets that are easily commutable back to the city. This has led to a trend of TOD oppor- tunities popping up in secondary regions across Colorado. The public sector has made significant invest- ments in public transportation and are continuing to seek private investment to further enhance these destinations. • Catalyzing transitionary neighbor- hoods. Just as these TOD projects are advancing the community’s goals, they also are meeting the needs of renters who are looking to get out of the congestion of the city, skip the hassle of sitting in traffic or find more affordable rent. While many TOD communities have smaller unit square footage than a tradi- tional three-story walk-up product, the consumer is willing to trade the nominal loss of space for the financial benefits and increased mobility. • Diversifying the unit mix. As we’ve experienced with nearly a dozen recent TOD proj- ects, this product also affords us flexibility in the end use of the units. We’ve had success in build- ing residential, commercial and live-work units into each of these projects. Developers can enhance the living experience for residents by choosing commercial tenants that serve as an additional on-site amenity while also filling a gap for the broader community. • Sustainable approach to urban plan- ning. By definition, transit-oriented development and public transporta- tion complement each other and together represent a sustainable approach to urban planning. Build- ing housing options adjacent to public transportation keeps cars off the road and, ultimately, helps reduce greenhouse gas emissions. Beyond the proximity to rapid tran- sit and bus transportation, transit- oriented development often places a focus on connectivity via pedestri- an and bike trails, further reducing the need for residents to take even small trips in their cars. According to the TOD Institute, residents of TOD can reduce energy consump- tion and driving by up to 85%. • Cheaper land translates to afford- able rent. TOD projects often can be easier to pencil than greenfield development in secondary com- munities, even with more afford- able rent costs for tenants. While construction costs are fairly fixed across the industry as a whole, land is less expensive in second- ary neighborhoods. In contrast to greenfield development, the infra- structure is oftentimes already in place so developers can save on the costs of creating it from scratch. We’re also able to get more density on less land – all of these factors ultimately translate to cheaper rents for the end user. We’ve recently been selected by the city of Westminster as the developer on a transit-oriented community within its Westminster Station. This project will support the city’s goal of creating a regional destination in the Denver metro area. The apartment community is located along the Regional Trans- portation District’s B Line, allowing direct access from the property to Denver’s Union Station within 15 minutes. Two five-story, multifamily buildings with ground-level com- mercial and live-work will wrap an existing parking garage with avail- able spots for residents, commuters and the public. The intent of the property’s proximity to public trans- portation is to provide an urban living option for people commuting to Denver while revitalizing this historic area of Westminster. This configuration provides public trans- portation within a three- to four- minute walk from their residence along with immediately available parking. The multifamily project is one piece of the larger Westminster Station redevelopment, which consists of 58 acres of developable transit-oriented land, parks and activity centers. This project is a prime example of the private sec- tor responding to the public sector’s investment in the community and we’re motivated by the city’s pas- sion around this long-term vision. ▲ Creating meaningful places through TOD projects Jay Hardy President, Brinkman With many large employers based in Denver, renters are shifting to tertiary markets that are easily commutable back to the city. This has led to a trend of TOD opportunities popping up in secondary regions across Colorado.