Colorado Real Estate Journal - October 18, 2017

Village at Lionstone apartments sell for $40.5 million

A California-based buyer expanded its Colorado Springs portfolio with its $40.5 million acquisition of the Village at Lionstone.

The buyer, identified as American Capital Realty Partners by public records, purchased the community from All Pro Capital, which acquired the 288-unit community in January 2016 for $28.1 million.

Located at 255 Lionstone Drive, in the city’s southeast multifamily submarket, the asset saw a significant amount of interest.

“There was strong interest in the asset, which has seen a good amount of appreciation,” said ARA Newmark’s Kevin McKenna, noting that the former ownership saw $150 rent bumps in upgraded units. All Pro had made improvements to 30 percent of the units, “teeing up” a strong value-add opportunity for the new owner of the 1980s value-add community.

McKenna and Saul Levy of ARA Newmark represented the seller of the asset, which was constructed in 1984.

Located near the intersection of South Academy Boulevard and East Platte Avenue, the community is within walking distance of the Murray Square Shopping Center, less than five minutes from FedEx’s distribution facility, as well as less than 15 minutes from the Colorado Springs Airport.

The property, comprised predominantly of two-bedroom, two-bath floor plans, consists of one- and two-bedroom units averaging 846 square feet.

Other features of the community include a business center, game/theater room, covered parking and views of Pikes Peak.

The buyer owns other assets in the Colorado Springs market, including Citadel Village, Park Ridge, Village East and Vistas at Citadel I and II.