QOZ Fund I

The Fiona

Colorado Springs,

CO

Total Required Equity
$31,672,945
Asset Type
Multifamily
Investment Objective
Development
Investment Date
December 2020
Projected IRR
22.00%
Projected Net Multiple
2.38x

Investment Summary

Formerly known as Elan Pikes Peak, The Fiona is a multifamily development located in the transforming southwest side of downtown Colorado Springs, Colorado. This project is compliant with all qualified opportunity zone (QOZ) eligibility requirements and regulations and is targeting a 2.52x net multiple over a 10-year hold. A taxable non-QOZ investment would have to generate a 3.66x net equity multiple to deliver the same after-tax benefit to investors. The project will take 41 months to build and lease and will be held for an additional 7+ years in order to meet QOZ guidelines. When complete, the Fiona will be a Class A commercial real estate property offering best-in-class amenities including a 5,000 square foot clubhouse with sweeping mountain views and a 1,300 square foot rooftop lounge. The property will include a mix of studio, one-bedroom and two-bedroom apartments with 382 parking spaces.

Key Deal Points

Our joint venture partner, Greystar, is one of the largest multifamily developers in the world, sponsoring more than $15 billion of development projects, with a strong track record and balance sheet. Greystar is a vertically integrated firm that plans, builds and manages Class A multifamily projects in premier cities across the United States.

The project benefits from a pre-approved tax increment financing (TIF) package from the City of Colorado Springs. The TIF provides a 75% abatement of property taxes over the next 15 years, which equates to a present value of $6.3 million in tax savings.

Once completed and stabilized, the project will immediately be refinanced, returning between 25% and 35% of invested capital to investors, and will continue to deliver annual cash flow between 7% and 9% of invested equity.

There are currently no other properties in the downtown Colorado Springs submarket offering the same level of quality, scale and amenities as The Fiona.

Colorado Springs is located approximately seventy miles south of Denver and was recently listed as the most desirable place to live in the country by U.S. News & World Report.

Explore our open investment opportunities.