$51M refinancing secured for townhome community in Denver

DENVER, Sept. 4, 2024 – JLL Capital Markets announced today that it has secured a $51.116 million financing for Elowyn Townhomes, a 211-unit townhome community in southwestern Denver, Colorado.

JLL worked on behalf of the borrower, RedPeak Properties, to originate the five-year, fixed-rate, full-term interest only Fannie Mae loan. The loan will be serviced by JLL Real Estate Capital, LLC.

“RedPeak did an absolutely tremendous job in fully renovating this very unique 1975 vintage asset that offers large units with new finishes throughout, full basements and private back yards.  JLL is thrilled to be involved in this financing with such a great local owner and operator,” said Tony Nargi.

Situated at 4725 W Quincy Ave, Elowyn Townhomes boasts a prime location that offers convenient access to RTE-286, US-85 and I-25. Positioned just a few miles southwest of the Denver CBD, residents of this community enjoy proximity to the Denver Tech Center, Denver's largest employment hub. Additionally, there are plenty of nearby amenities, including hiking trails, shopping centers and various entertainment options, providing a well-rounded and enjoyable living experience for community members.

Being the most populous city in Colorado, Denver's multifamily market is showing signs of stability and growth. The vacancy rate stands at 5.55%, with 9,349 units absorbed in the past year. Rent growth has slowed due to increased supply, but still experienced 1.20% year-over-year growth. The construction pipeline is shrinking, and investor demand is rebounding. In the West Denver Submarket, which offers an affordable alternative to downtown, net absorption remains elevated with a vacancy rate of 5.31%. This area is attracting young professionals and families with its proximity to downtown and a vibrant mix of amenities.

Elowyn Townhomes is a unique complex, offering townhome style homes. The two-story, one- and two-bedroom units come with a semi-finished, full floor plate basement, backyard patios, stainless steel appliances, fireplaces and high-end finishes. Originally built in 1975, the community has been recently remodeled in 2024 and is currently 97% leased. Located on an impressive 14.72 acres, residents can enjoy amenities like a pool and spa, a clubhouse, grills and a sauna.

JLL Capital Market’s Debt Advisory team representing the borrower was led by Managing Director Tony Nargi and Executive Managing Director Eric Tupler.

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

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RedPeak acquires, develops and manages apartments in Denver and along Colorado’s Front Range. RedPeak is focused on a local, neighborhood-based strategy with a sole focus in the Denver area. With nearly two decades of investment experience and over $1 billion worth of multi-family assets along the Front Range, RedPeak has a long track record of success and expertise in owning, developing, and managing Denver based properties.