Topaz apartments near DU now leasing

Leasing has started on Topaz, a 40-unit renovated apartment complex in the University of Denver area, and developer University Intrados LLC is wrapping up construction on the second building, expected to be completed in March.

Built in the mid-1960s, University Intrados purchased the property late last year. Formerly the Skier's Inn, the property is undergoing complete interior and exterior renovations, with Wheelhouse Construction acting as the general contractor.

"There's a ton of 1960s product that has seen very little renovation," says Brian Lantzy, vice president of business development for Wheelhouse Apartments and sister company Boutique Apartments. "We’re pretty sure this is one of the first renovations of an older Class C DU asset."

The property includes 38 one-bedroom unites averaging 500 square feet and two two-bedroom units averaging 625 square feet. Before the renovation, the property was getting rents of $535 a month for the one-bedroom units. With the improvements, the rents have risen to about $825 a month. Ten of the first 20 units are leased.

"Our target demographic is graduate students or young professionals associated with the college," Lantzy says. "We're surprised by how many people in our other projects near campus aren't students. Many are single people who work for the college."

Apartment development is booming throughout metro Denver, which had a vacancy rate of 4.3 percent during the third quarter of 2012, according to the most recent report by the Colorado Division of Housing. That’s down from 4.8 percent during the second quarter and 4.9 percent from the same period a year ago.

Average rents are also rising. During the third quarter of 2012, they were $986, compared to $989 during the second quarter and $936 a year ago.