Pathfinder Partners Acquires CO Properties
- Feb 03, 2017
Boulder, Colo.—Pathfinder Partners, a San Diego-based firm specializing in opportunistic real estate investments, has acquired two adjacent multifamily communities totaling 82 units in Boulder, Colo., for $24 million. The seller was a private Boulder-based real estate investment company, in a deal brokered by the Colorado office of ARA Newmark.
The properties include Villa Del Prado, a 50-unit apartment community built in 1974 with three two- and three-story buildings at 635 Mohawk Dr., and Chateau at Villa Del Prado, a 32-unit apartment community developed in 1968 with four two-story buildings and located at 565 Mohawk Dr. Villa Del Prado has a parking garage, indoor pool, spa, sauna and clubhouse, while Chateau has parking and a covered pool.
The communities are on nearly four acres, and offer two studio apartments, 12 one-bedroom/one-bathroom units, eight one-bedroom/two-bathroom units, 56 two-bedroom/two-bathroom units and four three-bedroom/two-bathroom units averaging 1,128 square feet. “We plan to renovate the interiors, upgrade the amenities and incorporate many green features,” said Lorne Polger, senior managing director of Pathfinder Partners.
“There’s considerable demand for rental housing in Boulder, which has experienced an economic boom in recent years leading to an increase in average household income, home values and rental rates,” Polger said. Pathfinder has been actively investing in Colorado in recent years, with 13 acquisitions and nine dispositions since 2009.
For now, Boulder’s vacancy rate for apartments (except in the university submarket) have been edging up. The rate (not including the university area) rose to 7.2 percent by the end of 3Q 2016, according to the Apartment Association of Metro Denver, compared with a 12-month average of 6.4 percent. Rents have dropped slightly in recent quarters.