$56M Affordable Denver Project Secures Financing

Image by Nathan Waters via Unsplash.com

DBG Properties and Featherstone Development have secured a $43.1 million construction loan for the development of 15 Sable Apartments, a 154-unit, fully affordable housing community in Aurora, Colo. Bellwether Enterprise Real Estate Capital LLC arranged the loan through a private placement, with Senior Vice President Anthea Martin representing the borrowers.

Upon completion, the community will cater to residents earning below 70 percent of the area median income, while 12 apartments will be reserved for tenants earning under 30 percent. The two developers plan to preserve the affordability of the community for at least 40 years.

Designed by Shopworks architects, the four-story property will incorporate one-, two- and three-bedroom floorplans. Common-area amenities at 15 Sable Apartments will include a fitness center, a community room, a patio, children’s play areas and an outdoor game lawn.

The transit-oriented, 2.2-acre site is located near the intersection of Interstate 225 and Route 30, which provide direct access to downtown Denver. The community will rise in an area with many dining options, retail centers and green spaces, such as Town Center at Aurora and Aurora City Place. Children’s Hospital Colorado Anschutz Medical Campus and The Medical Center of Aurora are within 3 miles.

Project financing and support

Other financing sources and support for the development of the $56 million project include:

• a property tax abatement partnership with Aurora Housing Authority
• a private activity bond allocation from the Colorado Housing and Finance Authority
• a subordinate loan from the Colorado Department of Local Affairs Division of Housing
• a tax credit equity investment from Affordable Housing Partners
• a property sale by the Regional Transportation District
• support from Aurora’s Housing and Community Services Department