Top 10 Denver Apartment Owners
A booming economy paired up with an accelerated increase in population have resulted in an influx of multifamily investors in Denver during the last five years. According to Yardi Matrix data, Starwood Capital emerged as the area’s top property owner, with a portfolio consisting of more than 9,000 units.
By Roxana Baiceanu
After a peaking 2016, when the multifamily sales volume surpassed the $7 billion mark, transaction activity in Denver has slowed down during the first three quarters of 2017. The rising average price per unit (more than $200,000) hasn’t stopped companies from continuing to invest in Denver multifamily properties.
The most sought-after communities were located in the southwest side of the metro—Hampden/Virginia Village/Washington Virginia Vale, Arapahoe-Southwest and Aurora-Southwest—as well as the central business district (CBD), according to Yardi Matrix data. More than 16,000 units were under construction in the summer, which is expected to attract several billions in investment by the end of the year.
The metro’s top investors already have extensive portfolios which range between approximately 3,000 to 9,000 units. The list below showcases the top 10 apartment owners by the number of units, and includes projects that are completed, under construction as well as in the planned and prospective stages.
10. Camden Property Trust
The Houston-based real estate investment trust has the fourth-largest national unit count among all Denver property owners, comprising more than 50,000 units. Its Denver portfolio encompasses nine properties totaling 2,864 luxury units. They are located in several suburban submarkets such as Douglas County-North, Arapahoe Southwest and Broomfield/Todd Creek. The most recent development is Camden Lincoln Station at 10177 Station Way in Littleton, Colo. The 267-unit property was completed in august 2015 and was almost 85 percent occupied two months after its opening.
9. Simpson Housing
Headquartered in Denver, Simpson Housing develops, owns and manages luxury multifamily properties in 13 states across the U.S. Its local portfolio totals 3,177 high-end units, the majority being clustered in the CBD/Five Points/North Capital Hill and Arapahoe-Southwest submarkets. The largest and most luxurious one is Sanctuary at Tallyn’s Reach at 23680 E. Easter Drive in Aurora, Colo. The community offers 510 units and a variety of amenities such as an outdoor pavilion with grilling area, a fenced dog park, a clubhouse, a fitness center, a media room and a swimming pool.
8. Maxx Properties
The New York-based company’s portfolio includes properties located in Florida, New York, Colorado, Nevada, Arizona and Utah. Almost half of the total number of units—3,326 out of 8,093—are clustered in the Denver area, where the company first entered 30 years ago. All units are market rate. The company’s largest asset, Oak Ridge, is located at 704 S. Chambers Road in Aurora and offers 472 units. It was completed in 1982 and is almost fully occupied. Maxx acquired it in 2000.
The company entered the Denver market in late 2011 and has since grown its portfolio to 3,381 units. Advenir at French Quarter, a 436-unit community located at 3227 S. Parker Road, is the largest property that the firm owns and manages. It was completed in 1972 and acquired in 2016 from Weidner Investment Services. The other Denver communities are scattered across several submarkets in the south part of the city.
6. AMLI Residential
Chicago-based institutional investor AMLI owns and manages 3,509 units in the Denver metro area, all of them luxury. Eight properties out of 11 are located in coveted submarkets such as the CBD/Five Points/North Capital Hill and Arapahoe-Southwest. The largest one is AMLI Arista located at 8200 Arista Place in Broomfield, Colo. The community encompasses 526 units and offers top-of-the-line amenities including a heated resort-style pool, yoga room, java bar, social lounge with game room, clubhouse, outdoor picnic areas with barbecue and a bike room. Rents vary from $1,339 (one-bedroom apartment) to $2,079 (three-bedroom unit). In October, the investor had four Denver communities under construction and planned.
5. Holland Partners
Founded in 2001, the company is known for developing and managing high-end properties in the Western United States, being one of the top property owners in Portland. In the Denver metro area, Holland manages 13 properties totaling 3,644 units. Three of them are under construction or in the planning stage. Upon its completion slated for the second quarter of 2018, Union Denver at 1770 Chestnut Place will be Holland’s largest project in the area as it will encompass 579 units. The developer plans to bring the property to LEED Gold standards.
4. Inland Real Estate Group
Inland’s latest acquisition, a 360-unit community in Broomfield, Colo., rounds up the company’s Denver portfolio to 3,650 units, all of them high-end. 8000 Uptown is the second-largest property owned and managed by Inland in the area. Completed in 2016 and acquired in the fall of 2017, the community offers a mix of one-, two- and three-bedroom layouts whose rents range from $1,410 to $2,060. In the summer, Inland purchased another recently completed property, Black Feather Apartment Homes, an 83-unit luxury community located in Castle Rock, Colo.
3. Jackson Square Properties
The San Francisco-based company owns 47 communities in nine states, 15 of which are scattered across several Denver suburbs. Their unit count mounts to 3,974, which secures the company the third position on our list. Legend Oaks, located at 1250 S. Dayton Court, is the largest community part of Jackson’s Denver portfolio. Completed in 1997 and acquired in 2016 from Fairfield Residential, Legend Oaks encompasses 488 units which can be rented at an average price of $1,376. AMC manages all properties owned by Jackson in Denver.
2. ColRich Multifamily
Comprising 4,401 units, ColRich’s Denver portfolio secures the company the second position on the list. The West Coast investor owns 13 properties scattered across several suburban areas including Westminster, Lakewood and Hampden/Virginia Village/Washington Virginia Vale. The 608-unit Waterfront, located at 10555 W. Jewell Ave. is the largest one. Completed in two phases between 1978 and 1979, the community offers one- and two-bedroom market-rate units. ColRich acquired it from Fowler Property Acquisitions in 2016.
1. Starwood Capital Group
Starwood owns 9,035 units in the Denver area, which accounts for almost 10 percent of its national portfolio. Almost two thirds of the stock consists of luxury apartments. One of the most high-end properties, and also the largest one, is Uptown Square, which Starwood acquired in 2016. Located at 1950 Pennsylvania St., the community encompasses 695 units and is 93 percent leased. Rents range from $1,302 (studio) to $2,897 (three-bedroom apartment).
Images courtesy of Yardi Matrix