Private real estate lender Knighthead Funding has provided Denver, CO-based real estate investment and development firm Alpine Investments with a $20 million construction loan for Edge LoHi, the first new condominium development in Denver’s Lower Highland’s (LoHi) submarket in nearly a decade.
“It is no secret that Denver boasts one of the strongest economies in the United States, yet it is one of the most undersupplied condo markets among the major U.S. metros,” said Knighthead Principal Jonathan Daniel who led the origination team with vice president Henry Boeckmann out of Knighthead’s Greenwich, CT office.
“Much of the city’s impressive job growth is occurring downtown with the creation of thousands of new high paying jobs, particularly in the technology sector which has exploded over the past five years.
“Edge LoHi is located in one of the most vibrant and upscale center city neighborhoods and is well positioned in the market to take advantage of the strong condo demand in downtown Denver.”
Edge LoHi was approximately 35 percent pre-sold at the close of financing, signaling high demand for condo units in LoHi.
When completed in 2019, Edge LoHi will feature 44 luxury one-, two- and three-bedroom floor plans ranging from 650 to nearly 2,500 s/f.
Starting at the low $400,000’s, each unit will feature high-end design elements and premium appliances. The unit mix also will include two-story, loft-style penthouses and amenities such as a dog spa, repair room, lobby lounge with a fireplace and coffee bar.
“Knighthead presented an attractive three-year, floating-rate non-recourse loan package that was extremely competitive, especially for a condo project in this market,” said Alpine Investments Managing Principal Churchill Bunn.
“The principals were extremely knowledgeable about the Denver market, which allowed them to fully understand our business plan. We hope to build a long-term relationship with them.”