Colorado Real Estate Journal - February 18, 2015
Griffis/Blessing Inc. recently paid $45.5 million for the 260-unit Bear Valley Park Apartments in Lakewood, an increasingly popular submarket in the Denver area. “Located in the highly desirable Lakewood submarket, minutes from major thoroughfares and River Point shopping district, as well as being adjacent to the Bear Creek Trail System, make this asset a valuable addition to our multifamily portfolio,” said William J. Hybl Jr., president and chief operating officer of Griffis/Blessing’s Property Services Group. Colorado Springs-based Griffis/ Blessing paid the equivalent of $175,000 per unit and $175.74 per square foot for the 258,980-sf community at 788 S. Reed Court. According to public records, the seller, San Francisco-based Carmel Properties, paid $33.95 million for the community in 2012. In other words, Carmel sold it for 34 percent more than what it paid after two years of owning it. Carmel paid the equivalent of $138.24 per sf and $130,577 per unit for Bear Valley Park. Griffis/Blessing described Bear Valley Park as a “Class A-/B+” property. The average unit size is 996 sf. Community amenities include a newly renovated clubhouse, a swimming pool, a state-of-the-art fitness center, outdoor barbecues and a fire pit. Residents also enjoy “panoramic views” of the Front Range mountains, according to Griffis/Blessing. Griffis/Blessing will enhance unit interiors, and continue with exterior and grounds improvements, particularly in the pool area. It also will improve on-site management services to better meet new renters’ expectations, the company said. These capital and operational improvements are part of its “time-tested value-add” plan initiated when it acquires a property, according to Griffis/Blessing. “With this acquisition, we are particularly looking forward to the opportunity to showcase our proven capital improvement strategies and property management expertise with a stronger presence in the Denver metro apartment marketplace," said Gary Winegar, chief investment officer for Griffis/Blessing. Griffis/Blessing’s strategy is good for residents and investors, he said. "It’s a win-win deal for both the residents of the apartment community who will benefit from these planned improvements, as well as our investors who will see immediate cash flow,” Winegar said. The property will be managed by Scott Kirksood, a regional property sales manger for Griffis/Blessing. Marissa Duncan will handle day-to-day operations on site. Brady O’Donnell of CBRE arranged the FMAC mortgage for the property on behalf of Griffis/ Blessing. David Martin and Pam Koster of Moran and Co. were the brokers on the transaction.