The Real Deal Miami

Miami firm pays $350 million for Denver rentals

Brokerage ARA says the nine-figure deal is the second-biggest of its kind in the U.S. this year
November 05, 2016 10:30AM

The Breakers Resort apartment complex in Denver

The Breakers Resort apartment complex in Denver

UPDATED Nov. 7, 11 a.m. Miami-based Pensam Residential acquired a 1,523-unit apartment property in Denver for $350 million, the second-biggest sale of its kind in the nation so far this year, according to brokerage firm ARA.

Pensam bought The Breakers Resort, located on a site spanning almost 190 acres and located within minutes of downtown Denver, for about $230,000 per unit.

“This is a key strategic investment for Pensam Residential as the Denver market is seeing job growth above both the state and national averages,” Michael Stein, founding partner of Pensam, said in a prepared statement.

Stein also said Denver is home to such large corporations as Lockheed Martin, United Airlines and Charles Schwab, and “the Denver multifamily market should remain one of the strongest performers in the United States.”

The Breakers Resort community features a privately owned lake and a 26,000-square-foot recreation center.

The seller of the property, Koelbel and Company, which developed The Breakers Resort starting in 1989, retained an interest in the property and will work with Pensam as a minority partner.

Pensam plans to invest in the modernization and improvement of shared amenities including several clubhouses.

ARA said the $350 million acquisition of the Denver apartment complex was the largest transaction of its kind in Colorado history.

Correction: A previous version of this story had an incorrect price for the units.