How does Colorado Springs multifamily debt pricing compare to Denver?

Colorado Springs pricing typically runs 50–75 bps wider than Denver for comparable product, reflecting a smaller lender pool. Sponsors typically circulate to a smaller bench versus Denver. The military employment anchor supports steady underwriting.

Are debt funds active in Colorado Springs multifamily construction?

Selectively. National debt funds cover Colorado Springs as part of broader Colorado coverage rather than as a primary market. Pricing for non-recourse senior typically runs SOFR + 375–525. We typically circulate larger Springs deals to a bench of 5–8 active lenders.

Colorado Springs multifamily construction financing

Colorado Springs, CO · Up to 85% LTC

Multifamily Construction in Colorado Springs, CO

Colorado Springs multifamily activity is concentrated in the Powers corridor, downtown, and the Briargate area. The metro has more measured multifamily supply than Denver which has supported tighter rent dynamics. We arrange senior construction debt for sponsors with strong absorption visibility, typically through a mix of regional banks and debt funds.

Colorado Springs Developer Market

Colorado Springs has absorbed steady inbound migration tied to military, defense contractor, and aerospace employment. El Paso County permits are dominated by Briargate, the Powers corridor, and Falcon, with Monument anchoring the higher-end Tri-Lakes submarket.

The market is smaller than Denver but has been more consistent through interest-rate cycles, supported by the durable military employment base.

Permit Trends

El Paso County leads. Falcon (east side) has absorbed significant production growth. The Banning Lewis Ranch master-planned community continues to deliver thousands of platted lots over multiple phases. Monument anchors high-end activity in the Tri-Lakes area.

Capital Climate

Smaller lender pool than Denver. Local banks and a handful of regional players anchor relationship banking; private credit fills in for BTR and larger deals. Pricing runs 50–75 bps wider than Denver.

Colorado Springs Submarkets We Place In

Briargate Black Forest Falcon Monument Fountain Powers Corridor Cordera Flying Horse

Multifamily Construction Program Terms

First-Lien Loan-to-Cost

Up to 75% (debt only)

Combined Loan-to-Cost

Up to 85% with mezz / pref equity

Loan Size

$5M – $150M first-lien

Term

24 – 42 months, interest-only

Recourse

Recourse, partial recourse, and non-recourse

Min DSCR (stabilized)

1.20x – 1.30x

Full Multifamily Construction Program Details

Representative Colorado Springs Deal

Senior construction debt

$22M

144-unit garden multifamily in the Powers corridor. Bank senior at 67% LTC with sponsor equity. Close in 10 weeks.

Frequently Asked Questions

Questions builders and developers ask about multifamily construction loans in Colorado Springs.

The Powers corridor, downtown, and the Briargate area draw the most lender interest. Falcon and the east side see selective multifamily activity. Monument and the Tri-Lakes area generally support smaller-pod multifamily reflecting demographic mix.