Seagate Buys Denver Apartment Tower for $20M
- May 19, 2014
Denver—Seagate Properties Inc. has acquired the 107-unit Wellshire, an apartment property at 2499 S. Colorado Blvd. in the University Park neighborhood in Denver from Pathfinder Partners LLC for $20.7 million. Pathfinder, in partnership with Bruckal Properties Inc., bought the property in 2012 for $12.5 million.
During the two years of its ownership, Pathfinder made about $2.5 million worth of capital investments in the 12-story tower. The improvements included redoing the façade, renovating the lobby and entryway, upgrading balconies, refurbishing dozens of unit interiors and adding various amenities, such as a health club and a roof-top deck.
The apartments were originally developed in 1962, and include one-, two- and three-bedroom units. It’s the only building of its height in the immediate area, the result of a grandfathered-in zoning. As a result, Pathfinder senior managing director Lorne Polger notes, “units on both sides of the building have permanent, unobstructed mountain and city views.”
The property also has a Walk Score of 88, which counts as “Very Walkable,” meaning that most errands can be done on foot. Though not a TOD, Wellshire isn’t far from Colorado Station on the RTD system, where three light rail lines stop.
Terrance Hunt and Andy Hellman of the Denver office of ARA multifamily team brokered the deal. California-based Pathfinder specializes in distressed real estate and value-add opportunities, while Bruckal Properties is a Canadian-based investment company focusing on repositioning U.S. multifamily. Seagate, also based in California, is an investor focusing on the western United States.