A 50-unit multifamily complex affordable housing in the heart of Littleton goes up for auction.
Littleton Main Street LLC, the owner of the complex, and Terra Management Group LLC, the property’s management company, have both filed to chapter 11 according to the bankruptcy court documents.
Bids for the apartments, 2350 W. Main St., will be taken through Nov. 15, with the minimum bid of $6.2 million.
Keen-Summit Capital Partners LLCa real estate brokerage and investment banking firm, along with Colliers International Denvera provider of commercial real estate services, is conducting a bankruptcy auction.
“Built in 1999, the Main Street Apartments is located in the heart of downtown Littleton, offering residents the benefit of restaurants, shopping and light rail access within blocks of the community,” said Craig Stack, senior vice president of Colliers International Denver, in a news release Thursday morning.
Ten miles south of Denver, the property is surrounded by more than 1,400 acres of green space and 200 miles of trails. The residential building is more than 37,000 square feet and consists of one- and two-bedroom units, averaging 755 square feet, according to Colliers’ auction website.
The property’s units operate under Section 42 of the Low Income Housing Tax Credit program.
Keen-Summit Capital Partners managing director David Levy said the first-floor commercial space is separately owned and is not a part of the sale – only the multifamily units above.
“The key is that whoever buys the building will still preserve the availability of affordable housing,” he said.
Levy said 96% of the 50 units are tenant-occupied. The sale will not affect the tenants’ leases. In addition, he said that if the property does not receive a qualifying bid, the property’s stalking horse bidder is C2 Capital Partners LLCa privately held real estate company based in Colorado, according to bankruptcy court case documents.
A offer on the lookout is an initial bid for the assets of a bankrupt company. Chosen by the bankrupt company, it becomes the minimum amount for which the assets can be purchased.
The bankruptcy filing is due to circumstances unrelated to the performance of the property, according to Levy.
The auction will be held later this month.