|NAME||Light Rail West Apartments|
|GROSS BUILDING SIZE||5,028 SF|
|CAP RATE||4.31% (Current) | 6.25% (Proforma)|
Light Rail West Apartments located at 1285 N. Wolff Street was built-in 1969 as a three-story exterior walk-up apartment building. The property features six (6) two-bedroom, one-bath units, all but one unit have been renovated in the past few years. The 5,028 SF three-story building sits on a 12,180 SF lot that is zoned G-MU-5 in the City and County of Denver. Each unit is approximately 720 SF in size with average rents of $1140/month ($1.58 SF). The property also includes ten (10) parking spots, all vinyl windows (2015), a Mule-Hide TPO sloped roof (2015) with 11-years left on a transferable warranty, newer gas-fired heat boiler (2014) and domestic hot water boiler (2014). Light Rail West Apartments has exterior walk-ups that provide access to two units on each floor of the three above grade floors.
All of the units enjoy efficient 720 SF floor plans and five (5) out of the (6) units have been extensively renovated. Basic unit features include large 21’ x 18’ living areas, open-style kitchens with breakfast bar, two 10.5’ x 11’ bedrooms with large closets, wall-mounted A/C units with dishwashers installed in three (3) out of the six (6) units.
The five (5) renovated units include new appliances, wood-look vinyl flooring, fresh paint, new ceiling fans, resurfaced kitchen countertops, painted cabinets, new backsplashes in both the kitchen and bathroom, new tub surrounds, new tile in the bathroom shower area and new bathroom vanities.
Tenants are drawn to this property due to its Denver infill neighborhood location just steps away from the Dry Gulch Creek walking trails which is less than a 10-minute walk to both the Sheridan and Perry Station Stop of the W- Light Rail line. The train runs from Jefferson County Courthouse to the west to Denver’s Union Station downtown. Tenants can go as far east as Denver International Airport and as far south as the Denver Tech Center with only one train transfer required at Union Station. The property is also within walking distance to the West Colfax entertainment district and Sloan’s Lake Recreational area.
The new owner has the ability to create immediate investment upside through self-management and raising current in-place rents closer to market, while also experiencing long-term rental rate growth as the Denver West submarket continues to improve.