Red Owl
Red Owl
Executive Summary
Red Owl is a multi-family building located in West Wash Park, in one of Denver’s most sophisticated and sought-after neighborhoods, where many luxury restaurants are located, very close to the Broadway Mall, Downtown Denver and the Alameda RTD Lightrail Station. The property is already built and rented with occupancy rates above 90%.
This area, as previously explained, shall have a significant growth in income in the coming years and it is intended to become an asset in 84 months. Red Owl consists of 1 studio apartment, 27 one-bedroom units, 15 two-bedroom units and 3 three-bedroom units with a total of 46 units, averaging a price of US$ 352,174 per unit, it is being bought at a really low price in comparison with similar properties that today are estimated between $ 425,000 and $ 450,000.
11.5%
Annual rate of return
Composed of income, refinancing and asset sales.8.55%
Annual dividend
Income annually distributed as a result of the operation of the building.$20.6 M
Sale price
$17.1 M
Purchase price
Oct 2020
Purchase date
7 years
Hold period
DO YOU WANT TO INVEST? CONTACT US
Market: Denver, U.S.A.
- Ranked as the second best place to live in the US based on labor market strength, quality of life and value index. (US News & World Report)
- Ranked third in the US job market(Wall Street Journal & Moody’s Analytics)
- Ranked as the fourth city with the highest GNP growth in the US between 2016 and 2017 and the fifth in non-farm employment growth.(US Bureau of Labor Statistics)
West Wash Park
Both the West Wash Park neighborhood, as well as all the surrounding neighborhoods, have developed a great labor force in recent years and have offices of several of the main companies in the United States, such as Google, Oracle, etc. These companies employ, within a 15/20 minute radius of the property, a workforce of more than 400,000 employees.
South Broadway is 2 minutes away, which has traditionally served as a great transportation corridor for the city fed by the growing population of Denver and the strong migration of millennials, transforming the area into the next hot spot in the metropolitan area.
The historic and contemporary Washington Park is 5 minutes away and is one of the largest parks among more than 200 urban parks in Denver. There is also Cherry Creek North which offers a variety of upscale shops, restaurants and galleries with 16 outdoor blocks, and the Cherry Creek Mall which is Denver’s main shopping destination and one of the city’s top tourist attractions with more than 15 million visitors a year.
8 minutes away, Old South Gaylord Street is one of Denver’s oldest business districts with more than 60 shops, restaurants and bars, attracting locals and visitors from all over the city.
Trader, track record
DB Capital is an American company, developer of real estate businesses, focused exclusively on investment opportunities in multifamily category assets. DB Capital has a history of executed projects that exceed USD 140,000,000, obtaining more than consistent results over time, which allowed it to achieve average annual returns above 20% for its investors.
Its investment strategy focuses on finding projects showing a low level of risk of capital loss and an ability to generate profits through a property management and construction strategy. From initial investment to project disposal, DB Capital’s execution strategy revolves around an emphasis on complete transparency and control that affect each project.
