Overview
Marcus & Millichap is pleased to present 560 Dayton St, a 17-unit multifamily investment opportunity located in the desirable Aurora submarket of the Denver metropolitan area. The property consists of an attractive mix of (6) one-bedroom, (5) two-bedroom, and (6) three-bedroom apartments, providing investors with largerthan- average unit layouts that continue to experience strong demand from Denver area renters. Offered at $2,400,000, the property delivers an attractive 6.46% Day One Cap Rate while featuring one of the most compelling financing opportunities currently available in today’s multifamily market.
The offering includes the assumption of an existing Freddie Mac Small Balance Loan with approximately 90% loan-to-value financing, a fixed 5.77% interest rate, and interest-only payments through November 2029. This highly favorable debt structure allows investors to generate an estimated 13% Day One Cash-on- Cash Return, creating immediate yield that is rarely available in today’s lending environment while requiring significantly less upfront equity.
Ideally positioned just east of Downtown Denver, the property benefits from convenient access to Interstate 225, Interstate 70, the Anschutz Medical Campus, Lowry, Fitzsimons Innovation Community, Buckley Space Force Base, and Denver’s largest employment corridors. The combination of a desirable location, spacious unit mix, and highly attractive assumable financing creates a rare opportunity for investors to acquire a cash-flowing asset with meaningful operational upside. By continuing to stabilize the property during the remaining interest-only loan term, future ownership will be well positioned for a refinance or sale upon loan maturity.
Investment Highlights
BELOW-MARKET 5.77% FIXED INTEREST RATE THROUGH NOVEMBER 2029
The existing loan features a 5.77% fixed interest rate with interest-only payments through November 2029, providing investors with below-market financing that maximizes cash flow while minimizing refinancing risk.
EXCEPTIONAL 13% DAY ONE CASH-ON-CASH RETURN
The combination of attractive in-place operations and highly favorable assumable financing generates an estimated 13% Day One Cash-on-Cash Return, delivering immediate cash flow that is difficult to replicate in today’s capital markets.
LARGE UNIT MIX APPEALS TO A BROAD TENANT BASE
The property features an attractive mix of (6) one-bedroom, (5) two-bedroom, and (6) three-bedroom apartments, providing larger living spaces than many competing multifamily communities. The abundance of two- and three-bedroom units appeals to families, roommates, and long-term renters seeking affordability without sacrificing space, supporting strong tenant demand and long-term occupancy.
SIGNIFICANT CAPITAL IMPROVEMENTS REDUCE FUTURE OWNERSHIP COSTS
The property has benefited from substantial capital improvements, reducing deferred maintenance and limiting near-term capital expenditure requirements for future ownership. Investors can focus on maximizing cash flow and operational performance rather than addressing major property improvements, creating a more predictable and efficient ownership experience.
STRONG AURORA LOCATION NEAR MAJOR EMPLOYMENT CENTERS
560 Dayton St is strategically located with convenient access to Downtown Denver, Lowry, the Anschutz Medical Campus, Fitzsimons Innovation Community, Buckley Space Force Base, Interstate 225, and Interstate 70. The property’s central location provides residents with access to major employment hubs, shopping, dining, parks, and public transportation, supporting long-term rental demand and occupancy.
RARE 90% LTV FREDDIE MAC LOAN ASSUMPTION
The offering includes the assumption of an existing Freddie Mac Small Balance Loan with approximately 90% loan-to-value financing. Assumable agency debt at this leverage level is exceptionally rare and allows investors to preserve capital while significantly enhancing overall investment returns.
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