Two-Asset Multifamily Buy Highlights Oak Coast’s Denver Interest
A recent multifamily purchase highlights Oak Coast Properties’ continued investment in rental housing within metro Denver, one of the top-ranked U.S. cities for Millennial net migration, with housing demand still widely outpacing supply. Oak Coast Properties recently acquired the portfolio for $61 million. The acquisition includes two rental properties, The Avalon and Estrella, encompassing a total of 427 units.
Oak Coast Properties is planning $3.2 million in renovations as part of an enhancement plan aimed at improving the marketability and ROI of the communities. Specifically, the Avalon’s 235 units will benefit from Oak Coast Properties’ planned upgrades with approximately 17 percent upside in rents anticipated at completion.
With this latest acquisition, Oak Coast Properties’ multifamily portfolio in Colorado now exceeds 4,287 units under management, with more than $1 billion in valuation.
“We toured and pursued this deal before the pandemic and we continued to monitor the deal for over a year,” says Phil Nahas, managing partner of Oak Coast Properties. “We were able to get it under contract at an attractive cap rate compared to the lower cap rates that similar properties are currently trading at today.”
Located at 645 Wolff St., The Avalon is a 14-building community on 16.22 acres with a mix of studio and one-, two- and three-bedroom units. Originally built in 1961, recent capital improvements completed by the previous owner include new electrical, roof retrofits, parking lot, clubhouse and sewer lines.
Located at 7030 Pecos St., Estrella is a five-building community set on 4.47 acres, with 192 units including one- and two-bedroom options.
Transwestern’s Tom Wanberg and John Blackshire represented Mountain View Capital in the disposition to Oak Coast Properties.
Lisa Brown has decades of experience in corporate communications and marketing management with organizations including Coldwell Banker Residential, Grubb & Ellis, Marcus & Millichap, NAIOP, SIOR and ALM.
In those positions, she worked in conjunction with chief executive officers and chief marketing officers to create corporate messaging, cohesive branding standards, strategic marketing plans and thought pieces. Brown is a frequent speaker at industry events and an editing adjunct professor for an online course. She has a master’s degree in mass communications from San Jose State University.