Colorado Real Estate Journal - January 6, 2016
Denver Mayor Michael B. Hancock, City Council Members Albus Brooks and Robin Kniech, and other city officials participated in a groundbreaking event celebrating the construction of Ashley Union Station, a mixed-income rental development located at 18th Street and Chestnut Place. The project, representing one of the last opportunities to secure affordability at the key transit-oriented development area, will feature 107 apartments, including 75 units for low- and moderate-income households. The $30 million project is being developed by The Integral Group, with financing from several public and private sources, including the Denver Office of Economic Development. The Denver Housing Authority is a general partner. “It’s critically important that residents of all income levels benefit from the new housing that is quickly sprouting in the Denver Union Station area,” Hancock said. “A new community is literally rising in the Central Platte Valley, and we’re proud to say that hard-working families can access urban living within steps of our major transit hub, benefitting from connections to the entire metro area.” The four-story building will include one- and two-bedroom units, as well as partially covered parking and a ground-level retail space. Ashley Union Station will incorporate significant energy-efficiency measures, complying with the Enterprise Green Communities Standards. “Our partners in this undertaking have been outstanding. We simply could not have done it without the dedication and commitment of all parties involved,” said Egbert Perry, chairman/CEO of The Integral Group LLC. “We are here because of the leadership of Mayor Hancock, the City Council, the Denver Housing Authority, the Colorado Housing and Finance Authority and the Colorado Department of Local Affairs Division of Housing.” A total of 34 units will be available to households earning 60 percent or less of the area median income (up to $43,200 for a family of three). Another 34 units will be offered to households earning 50 percent or less of the area median income, and seven units will be for households at up to 30 percent of the area median income. “The best neighborhoods in Denver have a diversity of housing options,” stated Ismael Guerrero, DHA’s executive director. “We're excited to be creating affordable housing options in the Union Station neighborhood with our partners at Integral and OED.” The city and county of Denver provided $2.3 million in financing from the general fund, as well as a $950,000 loan from the city’s Inclusionary Housing Ordinance special revenue fund, to support the development. DHA provided $2.75 million to support land acquisition and also is providing a 70-year ground lease to The Integral Group. Other financing partners include the Colorado Housing and Finance Authority, the Colorado Division of Housing and Enterprise Community Partners. The development is anticipated to be complete in early 2017.