Pinnacle Partners Announces Plans for New Denver Opportunity Zone Development
Pinnacle Partners, in partnership with Mortenson Development, announced plans for a new multifamily housing development located in an opportunity zone in Denver as part of Pinnacle Partners Opportunity Zone Fund VIII.
Pinnacle Partners, in partnership with Mortenson Development, announced plans for a new multifamily housing development located in an opportunity zone in Denver as part of Pinnacle Partners Opportunity Zone Fund VIII.
“I have been combing the market for opportunity zone sites, and this location is perhaps one of the strongest opportunity zone sites in the country,” said Jill Homan, managing director for Pinnacle Partners Opportunity Zone Fund VIII. “We are excited to partner with a best-in-class developer in Mortenson to realize the vision of this project.”
The complex will be prefabricated by Mortenson Development and include a mix of studio, one-bedroom and two-bedroom units. Amenities will include an amenity deck, a fitness center, a deck overlooking the Empower Field and the downtown Denver skyline, bike storage and onsite parking. Pinnacle said they expect to break ground during the first quarter of 2023.
“This project offers a unique combination of being connected to nature and the downtown core,” said Taber Sweet, vice president of real estate development at Mortenson. “Additionally, we’re excited to leverage our prefabrication capabilities for the first time in Denver, which is more efficient and sustainable.”
This project is one of the only two fee-simple sites in the Stadium District Master Plan and has been fully capitalized through opportunity zone funds. Located on the South Platte River Trail system, the project is adjacent to the South Platte River and bike trails and within walking distance to Empower Field. Project completion is aimed for the first quarter of 2024.
“With the population and employment growth in Denver, we have seen demand for well-located housing solutions for the current market. With the incredible advantages created through opportunity zones and Pinnacle Partners’ ability to identify institutional-quality real estate projects, we can offer our investors diversification and substantial tax advantages,” said Leo Backer, Pinnacle Partners founder and managing partner. “We continue to source a robust pipeline of high-quality multifamily development projects in these up-and-coming neighborhoods, such as Sun Valley.”
Pinnacle Partners has invested more than $180 million of equity across 12 projects that consist of approximately 2,000 multifamily units, and two historic adaptive re-use office buildings. Pinnacle Partners Opportunity Zone Fund VIII, a $100 million Regulation D 506(c) private placement offering, was launched in December 2021.
