CREJ

APRIL 3-16, 2019 Office 6 Multifamily 10 Retail 14 Industrial 16 Boulder County 20 Larimer & Weld Counties 21 Colorado Springs 23 Finance 26 CDE News 28 Who's News 40 High caliber The Caliber at Hyland Village sells for $315,000 per unit INSIDE Newcomers First-time investors follow population, e-commerce growth into Denver’s industrial market Elevated A Colorado Boulevard office tower increases in value to sell for $35.7 million 6 16 10 FEATURED First Dunton Commercial purchases a value- add retail center – its first acquisition under its new ownership group 14 CONTENTS by Jennifer Hayes BMC Investments and Oak Coast Properties partnered on the $177 million, “one-of- a-kind” purchase of a three- property, 1,023-unit apartment portfolio in Denver. The partnership purchased the Westwood Apartments, Woodhaven Apartments and Timberline Apartments, which will be renovated and rebranded into one commu- nity – Ivy Crossing. The acqui- sition marks the ninth and largest investment partnership between BMC and Oak Coast, and representsmetroDenver’s largest sale since 2016. “This acquisition represents a true one-of-a-kind oppor- tunity within metro Denver to reposition three individual legacy assets and to create critical mass by combining them into one of the largest in a region where housing is in high demand,” said Phil- lip Nahas, managing partner of Oak Coast Properties. “Not only is the upside potential of the value-add portfolio substantial but these apart- ments will provide improved housing options for Denver’s workforce.” “As our single-largest take- over to date, Ivy Crossing marks a major milestone in our commitment to improv- ing workforce housing in the Denver metro area,” added Matt Joblon, CEO of BMC Investments. “Not only does it demonstrate our ability to execute an extremely compli- cated transaction – combining three properties into one to create one of the largest mul- tifamily assets in Denver – but it also further solidifies the strong partnership between Oak Coast Properties, BMC Investments and BLDG Man- agement. “It fulfills our mission of keeping affordable workforce housing in Denver,” Joblon continued. “It is a great oppor- tunity for us and we are excit- ed for the challenge.” BLDG Management, the property management affili- ate of BMC, will manage the property. BMC, Oak Coast partner on $177M deal by Jill Jamieson-Nichols The price per key that Rock- bridge Capital paid for the Halcyon hotel in Cherry Creek is far and away the highest ever paid for a hotel in the Denver market. Chicago-based Rockbridge paid $558,442 per key, or a total of $86 million, for the 154- room boutique hotel. That’s $62,155 more per key than the $496,287 the Ritz-Carlton Denver achieved when it sold last year for $100.25 million, according to STR, a global hotel data and analytics com- pany. “The Denver market over- all is just very strong, and of course CherryCreek is just one of those places in the area that any owner would love to have a hotel,” commented Joseph Rael, STR senior director of consulting and analytics. In the last few years, hotel occupancies peaked and then decreased somewhat, and rates have flattened in the last year, Rael said. But hotel occu- pancies still are much higher than they were prerecession, despite new supply, and rates remain “very strong,” he said. Denver-based Sage Hos- pitality and developer BMC Investments sold the Halcyon to Rockbridge. Rockbridge Capital also acquired the Halcyon and B&GC brands, which Sage developed and trademarked. Makeready will take over management of the hotel, which is located at 245 Colum- bine St. inCherryCreekNorth. Sage Hospitality opened the Halcyon in August 2016 and achieved “stellar financial suc- Halcyon bests price per key by $62,155 Please see Halcyon, Page 22 Please see BMC, Page 22 The three communities - Westwood Apartments, Woodhaven Apartments and Timberline Apartments – will be renovated and rebranded into one community, Ivy Crossing. The Halcyon lobby

RkJQdWJsaXNoZXIy MzEwNTM=