Pathfinder Partners Closes Quarterly Fund at $95M
- May 06, 2021
Pathfinder Partners has announced the quarterly close of the Pathfinder Income Fund LP with more than $10 million in new commitments. The fund has raised more than $95 million in capital since it was established in January 2020.
The fund’s most recent acquisition is the purchase of Echo Ridge at North Hills, a 168-unit multifamily community in the Denver suburb of Northglenn, Colo., for $44 million.
CBRE brokered the deal for the sellers, Griffis Blessing and LEM Capital of Philadelphia. CBRE Capital Markets Debt & Structured Finance arranged the financing for the acquisition. CBRE’s Dan Woodward, David Potarf, Matthew Barnett and Jake Young represented the sellers.
Potarf said in a prepared statement the property attracted investor interest because of its strong historical performance and location in a thriving North Denver suburb. He said the asset also offered proven renovation upside with ample potential remaining for additional value-add opportunities. Built in 1999, more than half of the units were renovated prior to the sale.
Located at 11450 Melody Drive, Echo Ridge at North Hills has one- and two-bedroom units averaging 895 square feet. All apartments have in-unit washers and dryers. Select units have fireplaces, walk-in closets and mountain views. Community amenities include a swimming pool, barbecue and picnic areas, fitness center and clubhouse.
The property is situated along the I-25 corridor, providing access to the major employment hubs of downtown Denver and Boulder and Broomfield, Colo. The asset is located near 4 million square feet of retail, dining and entertainment options, including the Denver Premium Outlets and Orchard Town Center.
Pathfinder Income Fund
The fund has acquired seven properties with a total of 900 units across five markets in the Western United States. One of the fund assets is also in the Denver area—The Highlands at Red Hawk, a 56-unit property located at 1465 Red Hawk Drive in Castle Rock, Colo. Pathfinder Partners acquired the property in October for $18.2 million from Security Properties, according to Douglas County records.
It was Pathfinder Partners’ 11th acquisition in Colorado and the sixth multifamily asset in the Pathfinder Income Fund. The fund focuses on stabilized, income-producing Class B apartments with investments in Seattle; Denver; Phoenix; Portland, Ore.; Sacramento, Calif.; and San Diego, Calif.
Founded in 2006 by Lorne Polger and Mitch Siegler, Pathfinder Partners has acquired or sold more than $1 billion of properties since inception and currently has more than $725 million in multifamily assets under management. Siegler said in a prepared statement the quarterly close of the fund was one of the firm’s most successful to date. He said there is tremendous opportunity for accredited investors to take advantage of low-cost debt and favorable market demographics.