Macon Street Apartments

Transaction Details

Macon Street Apartments is a two-building, garden-style apartment portfolio located near the Fitzsimons Life & Science District in Aurora, Colorado. The property consists of 23 units and 16,000 square feet. The property provides an affordable rental option in a city with increasing rental rates. At the time of closing, the property was 100% occupied.

The Proposition

Essex's client acquired the Macon Street Apartments in 2014 as a value-add opportunity in a tightening Denver multi-family market. The borrower implemented a significant capital improvement plan to renovate the units and stabilize the property at current market rents. The borrower's objectives in the refinance were to recoup equity created in the value add program, and secure non-recourse debt for long-term cash flow and appreciation.

Our Solution

Essex Financial Group arranged a $1,450,000 non-recourse loan with an agency lender. The non-recourse, hybrid loan provided maximum loan proceeds, a highly competitive 5-year fixed rate, and flexible prepayment to facilitate an early refinance or sale of the property. Essex closed the loan within the Borrower's timeline with no changes to the deal terms.