The Fountain Hills Apartments at 2330 E. Fountain Blvd. sold recently for $1.2 million.
Creek View LLC, with a Castle Rock address and a registered agent in Boulder, according to the Colorado Secretary of State’s website, was the buyer.
ARA, a Newmark Company, Associate Saul Levy and Executive Managing Director Kevin McKenna represented the seller, Fountain Hills LLC.
Built in 1968, Fountain Hills is a 24-unit property in an apartment market that has seen an upside in rents, including 6 percent year-over-year rent growth during the second quarter of 2015, according to a news release from ARA.
“There is a lot of room to push rents at Fountain Hills. Effective rents at nearby properties were $100 to $250 higher at the time of the sale,” Levy said. “The buyer has a great opportunity to increase rents to align with market standards as leases begin to expire.”
Creek View LLC was attracted to the property’s upside and “features not typical of a 1960s asset,” Levy said.
“All the units have their own individual furnaces and central air conditioning. It is rare to find central air conditioning in 1960s product in Colorado Springs,” he said. “In addition, several of the furnaces and air conditioning condensers were recently replaced and double-pane vinyl windows were installed throughout the property.”