360 W. 13th Avenue
CenterSpace has completed the sale of Civic Lofts in downtown Denver, marking one of the most significant apartment value resets the city has seen in recent years.
The Minneapolis-based REIT purchased the 176-unit property in January 2022 for $63 million, or approximately $358,000 per unit. In June 2026, the property sold for $30 million, equating to roughly $170,000 per unit—a decline of approximately 52% and a realized loss of $33 million.
The transaction immediately raises questions about where values for similar downtown apartment properties stand today, particularly those acquired near the peak of the market.
We reached out to CenterSpace’s investment team, who confirmed the transaction was an arm’s-length sale that reflected market value. Company representatives said timing played a larger role than maximizing price, noting the property was not fully marketed and acknowledging it is possible the asset could have achieved a higher value through a broader marketing process.
The sale also aligns with CenterSpace’s broader capital strategy. In June, the company announced a $240 million to $245 million disposition program aimed at deleveraging its balance sheet. Civic Lofts was the only Denver property included in that initiative, suggesting the company prioritized balance-sheet objectives over waiting for more favorable market conditions.
CenterSpace is one of the nation’s more active multifamily REITs, having acquired more than $1 billion in real estate over the past five years while disposing of nearly $500 million in assets.
We reviewed several of the company’s recent dispositions and identified multiple properties that sold for less than their purchase price, including Freightyard Townhomes & Flats in Minnesota, ReNew Minnehaha in Minneapolis and The Venue on Knox in Minneapolis. While we did not review every acquisition and disposition in CenterSpace’s portfolio, Civic Lofts represents by far the largest dollar loss we identified.
Those transactions include:
• Freightyard Townhomes & Flats – Purchased in 2019 for $26 million and sold in late 2025 for $18.4 million.
• ReNew Minnehaha – Purchased in 2021 for $22.5 million and sold in late 2025 for $15.8 million.
• The Venue on Knox – Purchased in 2021 for $17 million and sold in late 2025 for $11.5 million.
The transaction also provides an interesting benchmark for CenterSpace’s more recent Denver investment. In October 2024, the company acquired The Lydian at 2560 Welton Street for $54 million, or approximately $418,000 per unit.
The comparison is far from perfect. The Lydian is a newer asset in RiNo with fully leased ground-floor retail and a different tenant profile than Civic Lofts. However, both properties operate within the same broader Denver apartment market, where owners continue to contend with elevated concessions, rising vacancy and pressure on effective rents. The Lydian is currently advertising 8 to 12 weeks of free rent, illustrating the competitive leasing environment facing even newer Class A communities.
Whether Denver’s fundamentals improve over the coming years will ultimately determine how recent high-basis acquisitions perform. While there is no indication The Lydian is facing the same outcome as Civic Lofts, the sale provides a notable market benchmark that investors, lenders and owners will likely watch closely as values continue to reset across portions of the urban-core apartment market.
For Denver’s investment community, Civic Lofts is more than a single transaction. It is a rare, transparent pricing event that provides a real-world data point for how dramatically apartment values can adjust when elevated interest rates, increased concessions, higher operating costs and softer leasing fundamentals converge. As additional transactions emerge, the market will gain a clearer picture of whether Civic Lofts represents an isolated balance-sheet decision or an early indicator of broader repricing across downtown Denver.