$105.3M construction loan set to build a community for the constantly curious in Denver
JLL Capital Markets secured the financing for the innovative X Denver2 apartments in the city’s prominent business district
DENVER, December 7, 2020 – JLL Capital Markets announced today that it has arranged $105.3 million in construction financing for the X Denver2 (XD2) in the Arapahoe Square neighborhood of Downtown Denver.
JLL worked on behalf of the borrower, The X Company, to secure the construction financing through CIM Group.
Located in the heart of the city, XD2 will offer private residences and co-living suites in a 22-story high rise at the corner of 21st and Arapahoe. XD2 will allow future members to choose between thoughtfully designed private apartments or share a fully-furnished co-living suite with their own bedroom and bathroom. The project also provides members with over 15,700 square feet of collaborative working space, a three-story unconventional members-only club featuring a resort-style pool and deck, full-service fitness center with daily classes and entertainment lounge equipped with a bar.
The neighborhood is a confluence for Denver’s most vibrant areas including RiNo, Five Points and Uptown, featuring various entertainment, dining and shopping options for residents. The area serves as a commuter’s paradise and boasts a Walk Score© of 91, with eight nearby rail lines, 19.4 miles of bike lanes throughout the city and 60 bus routes in proximity. XD2 borders the upcoming infrastructure development transforming 21st and Wynkoop Streets into an easily accessible walk-path, restricting vehicles on each street.
The demand for multi-housing properties in Denver continues to grow with the city consistently ranking as a Best Place to Live by U.S. News & World Report and it’s 63% growth in technology companies over the past decade.
“We are excited to continue to grow the X brand and want to thank our partners CIM and JLL for all the work it took to get this done in a very challenging year,” said Noah Gottlieb, CEO at The X Company. “For our members, XD2 is a workspace, gym, neighborhood bar and social network under one roof. As our third project here in the past two years, XD2 will expand the X offering to our existing members and hopefully welcome a bunch of new ones.”
The JLL Capital Markets team representing the borrower was led by Senior Managing Directors Eric Tupler and Christopher Peck, who co-head the Denver and New York City offices respectively, as well as Managing Director Josh Simon.
“The JLL Capital Markets team is grateful for the opportunity to work on behalf of The X Company, an innovative operator in the industry and also appreciative of the seamless execution provided by CIM, who we view as a trusted source of capital in the lending space,” said Tupler. “XD2 will be a welcomed addition to the Downtown Denver skyline and provide best-in-class housing for the continued influx of Denver residents primarily from coastal markets. We look forward to the delivery of XD2, and foresee the property anchoring the Arapahoe Square neighborhood.”
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales advisory, debt placement, equity placement or a recapitalization. The firm has more than 3,700 Capital Markets specialists worldwide with offices in nearly 50 countries.
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JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $18.0 billion in 2019, operations in over 80 countries and a global workforce of over 92,000 as of September 30, 2020. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.
About The X Company
The X Company (X Co.) is the real estate development and operations team behind X— the first and largest branded network of member clubs and private residences in the country. X Co. is currently active in six markets, with 5,000 beds in the current portfolio and over $1B in construction activity. X Co. is unique in that it is fully integrated—able to acquire, design, build, and operate its real estate assets, as well as manage its growing member network and brand. X offers its members professional-quality workspace to rival any coworking space and support the growing work from home segment; a state-of-the-art gym and fitness studio designed around class-based fitness activation, and attainable apartments including private residences and co living suites. In short, X exists to improve the way we interact.
CIM is a community-focused real estate and infrastructure owner, operator, lender and developer. Since 1994, CIM has sought to create value in projects and positively impact the lives of people in communities across the Americas by delivering more than $60 billion of essential real estate and infrastructure projects. CIM’s diverse team of experts applies its broad knowledge and disciplined approach through hands-on management of real assets from due diligence to operations through disposition. CIM strives to make a meaningful difference in the world by executing key environmental, social and governance (ESG) initiatives and enhancing each community in which it invests. For more information, visit www.cimgroup.com.