Los Angeles, Calif. – Gelt, Inc. is pleased to announce it has sold 3300 Tamarac, a 564-unit apartment community located at 3300 S Tamarac Drive in Denver, CO. The asset sold for $141 million to San Diego-based MG Properties Group. The brokers for the transaction were Dave Martin and Brian Mooney of Northmarq.
Gelt acquired the property in December 2015 for $74 million. The company added significant value to the community by enhancing operating efficiencies, renovating 129 units, and adding new amenities including Amazon lockers, a BBQ by the clubhouse, an extension and upgrade to the dog park, and an outdoor recreation area.
“This asset was a home run investment for Gelt that surpassed our projections handily, and we are pleased that we were able provide our investors with a substantial equity multiple along with consistent cash flow from operations along the way,” said Keith Wasserman, Partner with Gelt. “In addition to our enhancements to the property which created value for area renters, since the property was acquired, the Denver market, has experienced unprecedented job and population growth, translating to rising rents and demand for quality assets like 3300 Tamarac.”
Jeff Harris Partner with Gelt added, “MG Properties is a seasoned operator who appreciated the asset and its marquee location, and has identified significant remaining value-add upside. We anticipate they will realize future success with the tremendous tailwinds the local Denver economy has been creating for multifamily fundamentals.”
Built in 1977 and situated on just over 25 acres, the 15-building pet-friendly property offers studio, one- and two-bedroom units ranging from 450 to 1,035 square feet which feature private balconies or patios, fireplaces, and extra storage. Some of the on-site amenities include three outdoor swimming pools, a clubhouse, barbecue grills, fitness centers, racquetball court, business center, and a lounge area.
3300 Tamarac is strategically located at the intersection of the I-25 and the I-225 and is near the northern border of the Denver South Business Corridor. The asset’s location also puts it within 10 to 20 minutes from some of the largest employment centers in Denver.
Earlier this month Gelt announced the $69 million acquisition of Willow Point Townhomes. The 117-unit, rental community is located at 8500 E. Mississippi Avenue in Denver, CO. The company currently owns approximately 2,500 units in seven communities in the Denver metro.
“Gelt is focused on acquiring large apartment properties in high-growth areas on a national basis,” said Josh Satin, Chief Investment Officer with Gelt. “This year, we are seeking to spend more than $400 million for well-maintained properties particularly in the Denver, Salt Lake City, Portland, and Southern California markets.”
