Outside the Region: Steadfast Apartment REIT III acquires 318-unit community–$63.3 million

Lakewood, CO According to Steadfast Apartment REIT III, Inc. (STAR III), it has acquired its sixth apartment home community, Belmar Villas. The 318-unit garden style apartment community, located a Denver suburb, was purchased for $63.3 million.

“We believe the Denver area is a great match for the investment objectives of Steadfast Apartment REIT III, which targets mid-tier multifamily properties in growing communities,” said Ella Neyland, president of Steadfast Apartment REIT III, Inc. 

“Belmar Villas is our second property in the Denver metropolitan area, which was recently recognized by National Real Estate Investor as a top market for multifamily investment.”

Belmar Villas includes 17 three-story buildings with one-, two- and three-bedroom apartment homes that average 856 s/f. The community is currently 93% occupied.

Belmar Villas’ amenities include two swimming pools with spas, gas barbeque grills and fire pits, a playground, a designer clubhouse, basketball court, state-of-the-art fitness center, business center and internet cafe, covered parking and a laundry center. Every apartment home in the community features walk-in closets, ceiling fans, central air conditioning and spacious private balconies or patios. 

The previous owner recently renovated one quarter of the apartment homes. As part of the Steadfast Value Enhancement Strategy, STAR III plans to renovate the remaining apartment home interiors when turning apartments between residents to include an upgraded appliance package, new laminate countertops, new plumbing fixtures, new vinyl wood flooring and carpeting, new paint, new ceiling fans and upgraded lighting.

The apartment community’s Lakewood location offers easy access to many Denver-area employers including the Denver Federal Center, Saint Anthony Hospital, Miller Coors Brewing Company, the National Renewable Energy Laboratory and the Jefferson County government offices. The property also provides easy access to downtown Denver and the Denver International Airport through the RTD light rail system.

Belmar Villas is adjacent to the Belmar Shopping District which features over 100 shops and restaurants including Whole Foods, Target, Nordstrom Rack, Dick’s Sporting Goods and Best Buy. 

STAR III believes the Denver area is well positioned for long term success, being ranked number one on Forbes’ “The Best Places for Business and Careers” list for the past two years, and the number one “Best Places to Live” by U.S. News and World Report in 2016.

With the acquisition of Belmar Villas, STAR III has invested more than $242 million with six multifamily properties in Colorado, Georgia, Illinois and Texas, totaling 1,530 apartment homes. In the Denver area, STAR III also owns Bristol Village in Aurora.