Sweeney handled the transaction with Frank Farrell of the Denver office and Tom Warren of the Hendricks & Partners's Houston office.
The apartment complex was built in three phases, starting in the '70s, Sweeney tells GlobeSt.com. It is one of only two major apartment communities in the Montbello neighborhood in northeast Denver, he says.
''This is quite a turn-around story,'' Sweeney tells GlobeSt.com. ''It was a troubled community. Tarragon worked to remove the crime element, brought in new management and turned it into a productive community. It shows there's a real need for affordable housing for the blue-collar workforce in the area.''
Because the units are smaller than in newer construction, and because of its age, ''you can rent a two-bedroom, two-bath unit at the Village at Gateway for less than a one-bedroom unit in a new complex in the area," Sweeney tells GlobeSt.com.
He says the project is as large as a small city, with 64 buildings and eight outdoor swimming pools. Bridge plans to invest about $2.4 million improving the common areas, he says. As part of the refurbishing, Bridge will provide a cultural learning center to help teach Hispanic tenants English, Sweeney says.
Tarragon, a growth-oriented investment and management company, realized a gain of more than $8 million on the sale.
"The sale of this 32-year old property, our only asset in Denver, is a step forward in rejuvenating and rationalizing our investment portfolio,'' says William S. Friedman, president and CEO of Tarragon. ''The cash generated from the sale will provide the equity capital to finance an equal number of brand new apartments in growing markets where we have significant management competence and efficiency. Through new construction and sales of older properties like this one, we have reduced the average age of our apartments from 22.3 years in 1997 to less than 17 years today.
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