An independent living facility in Boulder sold for one of the highest prices per unit, if not the highest, to be achieved in Colorado.
Harrison Street Real Estate Capital paid $20 million, or $370,370 per unit, for Flatirons Terrace at 930 28th St. The 95 percent-occupied, 54-unit property offers luxury living with “elegant” dining spaces, expansive outdoor patios, a library, business center and flexible meal plans in an urban setting close to transportation and health care, according to Evans Senior Investments, which handled the sale on behalf of Golden West Senior Living.
“It was extremely positively received in the market,” said Jeremy Stroiman, CEO of ESI. “You have a high barrier to entry, you have a senior housing asset that’s full. There was absolutely some perceived operational upside, which I think is real. So, you had those three things working to drive a really low cap rate and a really high price per unit,” he said.
Golden West Communities, a senior housing provider in Boulder for more than 50 years, announced its intent to sell Flatirons Terrace in January. Golden West opened the community, next to its neighboring campus at 1055 Adams Circle, in 2008.
“The board has been seeking solutions for how Golden West could remain true to its mission – providing affordable housing for seniors – while also remaining independent and finding the resources to upgrade our facilities for residents,” President and CEO John Torres said at the time.
As part of the sale, the board specified that Flatirons Terrace remain a senior living community and that the buyer embrace Golden West’s values. Omaha, Nebraska-based Dial Retirement Communities, which operates 17 senior living communities in Nebraska, Iowa, Kansas, Illinois and now Colorado, will manage the community.
“We found an excellent partner in Dial Retirement Communities that will provide a quality living experience for residents of Flatirons Terrace,” Torres said.
“I couldn’t be prouder to represent Golden West Senior Living in this transaction,” said Stroiman. “I am a Boulder resident myself and am beyond thrilled for the acquisition of this asset by an owner and operator who will keep local residents the top priority. The entire ESI team worked diligently to represent our hometown independent living community.”
According to ESI, Boulder County has experienced “exceedingly strong” growth in its 65- to 74-year-old population, the prime age demographic for independent living. Between 2010 and 2015, that population grew by 42.2 percent.