Bringing a positive turn in Denver’s real estate space, California-based financial firm Marcus & Millichap Capital Corp. successfully acquired a $15.9M construction financing amount for The Jasper. Situated at 4353 Tennyson Street, this Berkeley-based multifamily complex has 34 units.
This real estate development is further being talked about because being in the Denver neighborhood, The Jasper also has a 2,700 sq. ft. of street-level retail.
Highlights
- Marcus & Millichap Capital Corp. recently secured a huge construction financing amount for the complex worth $15.9M.
- Berkeley-based multifamily complex, The Jasper, includes 34 units.
- This real estate project in Denver’s neighborhood area is expected to be completed by next year.
Insights on Denver’s Multifamily Project Development
Two prominent names in this financing deal are Phillip Gause and Jim Wilkins – the senior managing director and associate director at the Denver office of Marcus & Millichap Capital Corp. According to the duo, about $2M of the total secured amount is in preferred equity.
The remaining $13M has been acquired as debt by the Marcus & Millichap Capital Corp. This debt has been achieved on behalf of a local multifamily development company called First Stone Development. The secured debt fund by the Marcus & Millichap Capital Corp. features a term of two years. Additionally, it is non-recourse to the sponsor.
Sharing further details, Gause reflected on the many challenges that developers faced during the financing round, such as rising interest rates, issues with the capital market, increasing hard costs, and the local regulatory environment. All of these together led to a slowdown in The Jasper project.
Despite the problems, Marcus & Millichap Capital Corp. managed to set up a convincing financing solution for its client. Based on the same, The Jasper project is now ready to kick off and offer an impressive for-rent housing solution in a space full of amenities.
Timeline for The Jasper Project
As the Marcus & Millichap Capital Corp. has secured a whopping financing amount, it is hopeful that The Jasper project will be delivered in 2026. The authorities at the financial firm also think that demand for this multifamily development will be high next year. This is because of a lack of new complex supply in Denver’s metro area.
About Marcus & Millichap Capital Corp.
A part of the eminent commercial real estate investment, the Marcus & Millichap Capital Corp. will work towards offering ideal loan rates and capital solutions. With offices in the US and Canada, it also specializes in preferred and joint venture equity, loan sales, and mezzanine financing.
The location of The Jasper, along with its retail space, makes it a valuable property that can meet the demand for quality housing in Denver’s Berkeley neighborhood. Its projections of completion by 2026 further highlight the expertise of Marcus & Millichap Capital Corp. in managing crucial financing areas.
