JUST SOLD: Denver Investment Property Capitol Hill 10 Unit Multi-Family Building
Today’s Just Sold Denver Investment Property was a 10 unit, turn of the century, multi-family building in the Capitol Hill section of Denver. Given that vacancy rates are creeping around 1% in metro Denver, and rents on the rise, this property went under contract quickly. List price was 915k, final sales price for my Buyer clients was 875k. The CAP rate (rate of return) at list price was 7.3%, the return on the final sales price was 7.7%. In it’s current state, the building is bringing in $67,000/yr after expenses. Buyers are planning several upgrades of the property over the next yr to increase their return even more, probably around the $80,000/yr range.
The layout of the building currently includes 4 studio units, 4 one bedroom units, and 2 two bedroom units. For those of you familiar with Cap Hill, you know how frustrating finding street parking can be. The beauty of this building is the 8 reserved parking spots in the rear. Tenants love not worrying about parking and are willing to pay additional money for a reserved spot in this location!
With the stock market acting like a roller coaster, Denver investment properties are extremely popular right now. You saw what the returns are above, rents are on the rise, vacancy rates are super low, and Denver falls in the top 5 relocation areas in the country. Contact Me, Brian MacMillan, for more info on how to get started with similar Denver cash flowing properties.
Here are a few photos of the building:
