The sale amounts to $104,948 per unit and $107.58 per sf.
The clubhouse in the property includes a movie theater, concierge services, resort-style fitness center and billiards room. Units include granite counter tops, designer appliances and wood floors.
''Red Hawk fits well into our long-term investment strategy and complements our portfolio, which includes properties constructed in the '70s, '80s and '90s,'' Bryan Stern, principal of Baron Properties tells GlobeSt.com.
During the past 12 months, Baron purchased three properties for more than $87 million. Stern says the privately held; entrepreneurial Baron can be more flexible than larger, institutional investors.
''We're bullish on the long-term prospects for multifamily properties,'' Stern tells GlobeSt.com. ''The market is softer, but I think we'll weather this downturn just fine.''
Dan Woodward of Marcus & Millichap represented the community's owner, Carmel Cos. of San Francisco, which is headed by Ron Zeff. Ron's father, Cal, remains based in Denver and is one of the area's largest apartment developers.
''Originally, they had a letter of intent to buy it for $41.8 million,'' Woodward tells GlobeSt.com '' ''That was before 9-11. After 9-11, they lowered the price by $1 million and that made it $40.8 million, with a rent guaranty of $500,000.''
But the bank wouldn't give Baron Properties credit for the rent guaranty, so Zeff simply reduced the price by another $500,000 to $40.3 million, he explains.
''It sort of morphed into a different deal,'' Woodward tells GlobeSt.com. ''Ron really wanted to sell and he is a really tough negotiator in a lot of respects. And Baron really liked the asset. They liked the visibility and location and the quality of construction. I think it's going to be a very good, long-term hold for them.''
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