Avanti Residential has continued its nationwide strategy of acquiring apartments in high-demand markets by purchasing a mixed-use community in Aurora, Colo. The company acquired Forum Fitzsimons for nearly $159 million from Catalina Development, according to Yardi Matrix data.
Christian Garner, president of Avanti Residential, told Multi-Housing News that Avanti Residential also received a 10-year loan with 54 percent leverage from Freddie Mac for the acquisition.
The Class A transit-oriented apartment complex was built in 2017 with 397 units comprising studio, one- and two-bedroom floorplans ranging in size from 568 to 1,277 square feet. The community also features 28,202 square feet of retail space as well as a fitness center, bike repair shop and storage, dog wash area and park, two pools and three event clubrooms. Forum Fitzsimons’ ground floor retail space is currently leased to IHOP, Firehouse Subs and Sushirama but the new ownership is planning to add more food service options. Garner also told MHN that the community was 95 percent occupied at the time of sale.
Located at 13650 E. Colfax Ave., Forum Fitzsimons is across the street from the RTD Colfax light rail station and near Interstate 225, which both connect residents to Denver and other nearby Colorado cities. The community is also next to the Fitzsimons Life Science District, a major employment node in the area that accommodates 44,600 employees.
With the acquisition of Forum Fitzsimons, Avanti Residential has hit $630 million in total acquisition volume for the past year. The Aurora community is the latest step in the company’s strategy of expanding its apartment holdings nationwide. Garner said in prepared remarks that Avanti Residential is creating a portfolio that includes high-quality multifamily assets in high-growth employment markets.
Currently, the company owns and operates approximately 8,000 apartments in Colorado, Arizona, Utah, the greater Kansas City area and Florida. The company recently added Florida to its portfolio by acquiring a 341-unit community in Boynton Beach for $105 million. According to Avanti Residential, the company will continue to actively acquire core-plus and value-add apartments that deliver attractive risk-adjusted returns.
“Our 2021 investment activity has included a focus on suburban markets in the Midwest and Southeast, where we see favorable yields on core-plus assets that have strong market and location fundamentals, plus appealing design characteristics,” Garner told Multi-Housing News.