Alvista Trailside - Englewood, CO
June 21, 2017
PRG Closes $57.8 MM Acquisition of 312-Unit Apartment Complex in Denver Metro Area
The purchase unveils a value-add redevelopment plan for the property which has direct access to 30 miles of Denver’s recreational trails.
Englewood, Colorado – June 21, 2017 – Phoenix Realty Group (PRG), a national multifamily real estate fund manager, investor, operator and developer, purchased Silver Cliff Apartment Homes jointly with a third party family office and discretionary affiliated investment vehicles. The property is a 312-unit Class B multifamily apartment community located at 5275 S. Delaware St. in Englewood, Colorado, a city in the southern section of the Denver metropolitan area. PRG will operate the rental community and plans to renovate, upgrade and modernize the property to offer an attractive option for tenants in the area. In addition, the property will be rebranded with a new name (currently anticipated to be Alvista Trailside to reflect and promote the property’s direct access to the Big Dry Creek Trail) and signage. Alvista is PRG’s proprietary brand of apartment communities.
Completed in 1991, Silver Cliff Apartment Homes consists of nine two- and three-story garden apartment buildings, one clubhouse and one storage building occupying a 10.6-acre site. Unit configurations include 168 one-bedroom/one-bathroom units (54 percent) and 144 two-bedroom/two-bathroom units (46 percent). The property is located in the Denver metropolitan area, close to Greenwood Village, Colorado and Littleton, Colorado. Adjacent to the property are both ample retail and direct access to approximately 30 miles of bike and walking trails. Common amenities include a pool and sundeck, fitness center, playground and dog run. Units feature private patios/balconies and wood-burning fire places. The top floor units have vaulted ceilings and there are lofts in 23 percent of the units.
The property will undergo improvements in operations, enhancements to the on-site amenities, as well as upgrades to the apartment interiors through a value-added program. PRG seeks to enhance the overall property experience for prospective tenants, starting with rebranding the property name and adding new signage, upgrading the leasing center, modernizing the clubhouse and providing state-of-the-art fitness and cyber centers. The repositioning plan is aimed at maintaining a contemporary standard for units and the amenities that meet today’s residents’ needs.
“We are excited to expand PRG’s presence in the Denver metropolitan region and implement our capital improvement plan for the property,” said Keith Rosenthal, president of PRG. “We believe there is a significant opportunity to improve the property value, attract new tenants looking for state-of-the-art amenities and contemporary apartment units and execute on operating improvements and energy efficiency programs to create expense savings.”
Alex Saunders, managing director of acquisitions for PRG’s western U.S. region, emphasized the prime location of Silver Cliff Apartment Homes. “Not only is the property bounded by two affluent suburbs, Greenwood Village and Littleton, and near numerous parks, major retailers, employment centers and the RTD Light Rail, but a key feature is the property’s direct access to Big Dry Creek Trail, which leads to the entire Denver park system including Progress Park to the west and many miles of paved biking and walking trails.”
With a thriving economy, the unemployment rate in the Denver area is below the national rate and employment growth is expected to continue from 2017 to 2021, according to Axiometrics. The Denver metropolitan area is attractive to renters of all age groups, especially Millennials, due to a high quality of life from a wide range of employment, educational and recreational opportunities including good schools, numerous outdoor and sports-related offerings and an attractive climate which embraces snow in the winter and sunshine approximately 300 days each year.
As a result of this acquisition, PRG now owns more than 1,300 units in Colorado.
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About Phoenix Realty Group
Phoenix Realty Group LLC (www.phoenixrg.com) is a 17-year old firm focused on multifamily residential properties in higher barrier-to-entry and infill markets. The firm is headquartered in New York with investment and asset management personnel in California and Florida. The firm has three business lines: value-added, new construction and affordable housing. In its value-added strategy, PRG’s goal is to acquire, renovate and reposition Class B urban and suburban multifamily properties in primary and secondary metropolitan areas to increase both ongoing cash flows and overall property appreciation. As of March 31, 2017, PRG manages approximately $1.6 billion in gross real estate assets under management and approximately 10,000 apartment units across the U.S. PRG’s three founders have on average nearly 30 years of successful experience in multiple investment cycles and a track record of more than $12 billion of assets, over 1,000 properties and 130,000 multifamily rental units.