A New York-based investor has made a eight-figure push into Denver.
Madison Avenue-based Arel Capital bought three Wash Park apartment buildings this month for nearly $11 million. It’s the first Denver acquisition for Arel, which owns about $500 million worth of apartments between New York, Houston and Austin.
“We’ve been looking at Denver for many months, and it’s all about finding the right properties,” Arel CEO Richard Leibovitch said. “There aren’t as many properties in the market as I would like; I wish there were more. But we’ve got to find the right property to buy.”
Arel’s Wash Park purchases included:
– 50 Corona St., $3 million
– 25 Emerson St., $2.55 million
– 550 E. Third St. $5.25
The package includes about 80 apartments, Leibovitch said, which puts the per-door price at $135,000. He said the portfolio’s occupancy rate is more than 90 percent. Arel Capital has enlisted Cornerstone Apartment Services to handle property management duties.
Leibovitch said he plans to do some renovations to the properties but does not yet have a firm plan or timeframe for the upgrades.
“There’s no set timeline, but generally our philosophy is to try to update the properties,” he said. “We’ll fix them up, make them nicer than they are and hopefully keep them for a very long time.”