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Trion Properties, a private equity real estate firm based in West Hollywood, California, recently acquired Quail Cove and Highland Park, two Colorado Springs apartment properties totaling more than 406 multi-family units.

Trion Properties, a private equity real estate firm based out of West Hollywood, California, recently acquired two of Colorado Springs largest multi-family apartment complexes for a total of $80 million.

The two properties, Highland Park and Quail Cove, located in the northeast and southeast parts of the Springs, respectively, comprise more than 406 multi-family apartment units. The properties both opened in 1984 and each feature a swimming pool, spa amenities, a fitness center, a business center and a clubhouse.

Trion partnered on the deal with PCCP LLC, a global investment manager, and financed the transaction using $61.3 million in Freddie Mac loans provided through Capital One. The loans are seven-year SOFR-based adjustable-rate loans with two years of interest-only payments. They are amortized on a 30-year schedule.

Max Sharkansky, managing partner at Trion Properties, said the firm considers both properties to be well-maintained assets with strong value-add potential in one of the most lucrative multi-family rental markets in the country.

"Colorado Springs was the third-best housing market for multi-family rental investments in 2020, and recently ranked fourth as the best place to live in the United States," Sharkansky said, referencing U.S. News & World Report's annual 150 Best Places to Live rankings. "Colorado's strong military presence, booming aerospace and high-tech manufacturing industries are just a few reasons why the region has seen exponential growth and and influx of top talent over the past few years."

Mitch Paskover, another managing partner at the firm, noted that Colorado Springs saw a significant rent increase in 2020 in spite of the pandemic, showing its potential for resilient growth for years to come.

Trion completed its first acquisition of multi-family rental units in Colorado just seven months ago, when it acquired The View Apartments in the Northglenn submarket of Denver.

Its acquisitions of Highland Park and Quail Cove bring its total multi-family real estate interests in the state to just under 700 units.

 

A graduate of the University of Denver, John Miller worked for six years as a reporter and editor in New Mexico before returning to Colorado in 2020. He has covered domestic terrorism, economic development and the opioid epidemic, among other subjects.