A Florida-based apartment and investment company purchased its second apartment community in Colorado Springs.
Adevenir purchased the Cheyenne Crossing Apartments, a 220-unit complex at 610 Wycliffe Drive, for $19.15 million on Sept. 30.
The property, built in 1986, has a full amenities package including a clubhouse, business center, fitness center, outdoor pool, and detached garages, according to a release about the sale.
CBRE, a Miami-based lender with offices in Denver, arranged a $14.95 million Freddie Mac loan for the purchase of the property.
Advenir’s first purchase in the Colorado market was the 220-unit Briarglenn Apartments, also built in 1986. That $16.3 million acquisition is located just across from the Chapel Hills Mall in Briargate area. While it has most of the same amenities as the Cheyenne Crossing property, it does not have detached garages.
Advenir’s chief acquisitions officer Todd Linden said in a previous interview that rents at Briarglenn range from $800 to $1,200 a month.
“We think, long-term, Colorado is a great state to invest in,” Linden said. “There’s going to be a lot of job growth there.”
He said a lot of young people are moving to Colorado from outside of the state and the population is younger and more mobile here.
“What attracted us to the market is its affluent renter base with a lot of well-maintained properties that had have no rent growth for a long time,” Linden said. “And we can see that the market is starting to turn around.”
Stephen Vacchitto, Advenir managing member, said Colorado Springs and Briarglen were particularly attractive to the company because of military personnel moving back into the area, a lack of inventory following years without any new multifamily construction and an improved property.
Vacchitto said the previous owner made some cosmetic improvements to the Briarglen apartments, but never saw the return on his investment. Advenir plans to invest another $1 million in interior remodels and common area improvements.