Denver Luxury Property Trades for $161M
Confluence Cos. sold the multifamily asset to Kairoi Residential.
Kairoi Residential has expanded its Colorado holdings with its $161 million purchase of Zia Sunnyside Apartments, a 434-unit, Class A multifamily community in Denver’s Sunnyside neighborhood. The company acquired the property from Confluence Cos.
According to Yardi Matrix data, Kairoi Residential secured a $129 million loan from Hamblin Watsa Investment Counsel debt funds. The loan was funded by co-funders Hamblin Watsa Investment Counsel and Kennedy Wilson and has a maturity date of Nov. 9, 2026.
A Walker & Dunlop team led by Dan Woodward, David Potarf, Matt Barnett and Jake Young arranged the transaction on behalf of both buyer and seller. A transit-oriented development, Zia Sunnyside is directly connected to the 41st and Fox RTD light rail station and is the first stop outside the city’s central business district.
Completed in 2021, Zia Sunnyside was 91.7 percent occupied at the time of the sale. The property has studio and one-, two- and three-bedroom floorplans ranging in size from 438 square feet to 1,406 square feet. Rents range from $1,781 to $4,808, according to Yardi Matrix data. The building has 66 affordable units.
Situated on 2.2 acres, the property includes six- and eight-story buildings. The first floors include 7,373 square feet of retail space. Private balconies or patios are available in select units. The apartments have washer and dryers, above-standard ceiling heights, digital locks and high-speed internet access. Community features include a rooftop terrace, a swimming pool with a pool deck, clubhouse, cross-fit inspired fitness center, onsite yoga classes, two outside courtyards, multiple social lounges and co-working areas. There are 267 parking spaces and covered parking is available for an additional fee.
Earlier residential moves
Confluence Cos., a Golden, Colo.-based real estate developer and property management firm, owns several apartment communities in the Denver metro. In May 2017, Confluence broke ground on Timberline Farms, a 314-unit, garden-style multifamily property in Arvada, Colo.
Based in San Antonio, Texas, Kairoi Residential is a multifamily investment, development and property management firm that is also active in the Denver area. In September, the firm sealed a loan financing the development of Kairoi Metro Center, a 419-unit transit-oriented community in Aurora, Colo., which is expected to deliver in early 2016. It is one of six communities the developer is planning in the region. The firm has been active in the city’s property management space, overseeing operations at One River North, a 187-unit multifamily community in within Denver’s River North Art District, which broke ground in the fall of 2021 and topped out in January.
Closer to home, Kairoi Residential acquired Signature Ridge, a 612-unit multifamily property in San Antonio, from CBRE Investment Management in July. Elsewhere in Texas, Kairoi Residential has partnered with Lincoln Property Co. to develop a 74-story mixed-use project in downtown Austin that is expected to be complete in late 2026.