An apartment complex in the suburbs of Denver sold to a large British asset management company.
L&G – Asset Management, America, the U.S. arm of London-based Legal & General, bought the Outlook Golden Ridge apartments in Golden for nearly $81.9 million, the Denver Business Journal reported. The property at 544 Golden Ridge Road was sold by its developer, Evergreen Devco, and features 177 units across six buildings. The purchase price works out to approximately $463,000 per unit.
The purchase in Golden marks L&G’s third in the past year done in partnership with Taurus Investment Holdings, an LLC in which L&G has a minority stake. The Outlook Golden Ridge was built in 2015 and was 95 percent occupied at the time of the sale. The development consists of a mix of one- and two-bedroom units with an average size of 1,007 square feet. Resident amenities include a fitness center, pool and hot tub, a sky deck, a clubhouse with local beer on tap and various outdoor common areas.
L&G will rename the property to The View at Golden Ridge. Taurus Investment Holdings will be in charge of the property’s business plan, including honing in on a renovation program for the complex.
Golden, like Denver itself, is facing a housing shortage as one of the most supply-constrained submarkets for apartments in the Denver metro area. The gap can be partially attributed to the city’s past growth cap restrictions that stymied residential development. As a result, the city has some of the region’s strongest multifamily fundamentals, making it a hot market for purchasing property, per CBRE data cited by the Business Times.
It’s not just renters that are increasingly attracted to living in the Denver exurbs. A lack of new condos in the city are leading some first-time buyers to “drive to qualify” for new developments in cities outside the core like Bennett, Strasburg, Watkins and Aurora. For these buyers, high maintenance costs and association fees tied to decades-old condos in Denver are pushing them to look outside the city in order to qualify for loans.
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