Transactions Report Week of 12.04.17
Newmark Knight Frank Announces Industrial Sale for $7.1M
Newmark Knight Frank (NKF) announced the sale of 4920 North Washington Street in Denver. The 40,530-square- foot industrial asset located on 4.29 acres was sold by GI Investments, LLC for $7.1 million ($175.18 per square foot) to a local developer. NKF’s Managing Director Russell Gruber represented GI Investments, LLC in the transaction.
Located near the new $1.1 billion National Western Center (NWC) in the Globeville / Elyria Swansea neighborhoods (coined the National Western Neighborhood) with frontage along Washington Street, 4920 North Washington’s sale price achieved the highest price-per- square-foot so far in an area defined by high demand and redevelopment opportunities.
“The National Western Stock Show redevelopment has triggered the next genre of transformation for the National Western Neighborhood, and the sale of the older, Class C industrial asset 4920 North Washington for record level pricing per square foot indicates the high demand for redevelopment opportunities in the area,” noted Gruber. “Located ideally for value creation, the competition was fierce for 4920 North Washington. Now that much of the vacant land is off the market, the next level of opportunity will focus on older, antiquated industrial real estate – especially ones located on larger land parcels, and with a larger than average footprint.”
“Denver is booming, both economically and culturally,” commented George Medley, owner of GI Investments. “This is an opportunity to redevelop this industrial space for a new use in line with the transforming National Western Neighborhood’s rapid growth. This is the third transaction I’ve worked on with Russell Gruber and NKF, and I couldn’t be more pleased with the outcome.”
Greystone Unique Apartment Group Represents Both Buyer & Seller of 7 Units in Central Denver
Greystone Unique Apartment Group, multifamily division of Unique Properties, Inc., recently brokered the sale of a 7-unit multifamily asset located at 1282 Saint Paul Street in Denver. The property sold for $1.5 million ($214,285 per unit). Niklas MacCarter of Greystone Unique Apartment Group represented both the seller and buyer in this transaction.
Located in Denver’s Congress Park neighborhood at the intersection of 13th Avenue and Saint Paul Street, Rene Apartments has a unit mix of three oversized one-bedroom units, four oversized two-bedroom units and five parking garages. Rene Apartments allows easy access to Downtown Denver and Cherry Creek. The buyer intends to raise rents to market value and hold the property for long term cash flow.
Transwestern Advises Matrix Group in Sale of 210,848 SF Property to Waterpark I Owner
Transwestern’s Denver Capital Markets team announced it closed the sale of Waterpark II and III, two Class A office properties at 2350 – 2550 S. Parker Road in Aurora. Transwestern Managing Directors Brad Cohen and Larry Thiel advised Matrix Group Inc., a Colorado-based investor, on the sale of the two properties totaling 210,848-square-feet. Kaiser Permanente, which owns Waterpark I, acquired the remaining buildings for an undisclosed price.
“It was a pleasure to work with Matrix Group on Waterpark II and III as an exclusive advisor. Several investors expressed interest in the properties, but Kaiser Permanente ultimately exercised its right of first offer to purchase,” said Cohen.
The two properties, built in 1982 and 1984, respectively, are 97.2 percent occupied with 60 percent of the space leased by Kaiser Permanente. Matrix Group Inc. purchased the two buildings in 2010 for $14 million. The sale of these two properties gives Kaiser Permanente full ownership of the Waterpark Campus.
JLL Secures 44,264 SF in I-70 Corridor for Logistics, Delivery and Warehouse Company
JLL recently secured a 5-year lease of Class B warehouse space for Precision Equipment Placement (PEPMOVE) at 14603 East Moncrieff Place in the Moncrieff Business Center, located just off I-70 and I-225 in Northeast Denver. JLL brokers Jason White and Nick Steitz represented PEPMOVE in the transaction.
“PEPMOVE’s growth is a testament to the strong market fundamentals and indicates Denver is still a growing market. They fall right in line with Denver’s average industrial tenant size,” said White. “In addition to expanding their operations, PEPMOVE also wanted to secure a location that would allow the company to more efficiently serve its client base. Moncrieff Business Center places them next to two major interstates, with quick access in all directions.”
The Moncrieff Business Center sits half way between downtown Denver and the airport with access to both I-70 and I-225. The property, owned by local real estate group Etkin Johnson, has nine dock-high doors, two drive-in doors, one ramped drive-in, six rail doors, ample parking and is zoned for light industrial. The 44,264-square-foot industrial space is almost twice as large as PEPMOVE’s previous space.
CBRE Facilitates Sales in Centennial, Broomfield and Colorado Springs
CBRE announced the $8.25 million sale of the 88,238-square-foot industrial/flex property located at 14603 East Fremont Avenue in Centennial. Daniel Close and Matt Kawulok with CBRE Industrial & Logistics Services in Denver represented the seller, Bow River Capital Partners of Denver, to buyerCherry Creek School District.
Built in 1989 and expanded in 2009, the property is a multi-tenant office/warehouse property situated on a site of more than 10.5 acres with the potential for three tenants. During Bow River Capital Partners’ 15-month ownership period, the company focused on repositioning the property for its highest and best use. This included rezoning the site to allow sub-division and approximately 77,000 square feet of outside storage space across two adjacent land parcels, a unique feature for southeast Denver industrial space.
CBRE also facilitated the sale of two adjacent multifamily properties located at 1030 East 10th Avenue and 1049 East Ninth Avenue in Broomfield. Dan Woodward, David Potarf, Matt Barnett and Jake Young with CBRE Capital Markets, Colorado Multifamily Investment Properties, represented the seller, FPA Multifamily of San Francisco. The buyer was Aragon Holdings of Los Angeles.
“Ten30 and Ten49 are the only apartment communities of this size in the Broomfield/Interlocken submarket with pre-1980s construction, so they offered value-add potential that simply can’t be found elsewhere in the area,” said Young, vice president, CBRE Capital Markets, Colorado Multifamily Investment Properties. “With their central Broomfield location, Ten30 and Ten49 are perfectly positioned to access two of the metro area’s major job centers—Interlocken and north Denver, including Thornton/Westminster. Several large employers have announced new or expanded operations in these areas recently, which will bring even more job opportunities to the area.”
Ten30, located along East 10th Avenue, was built in 1973 and includes 209 units across five buildings on a total 5.82 acres. Most of Ten30’s units are one-bedroom apartment homes. Ten49, located along East Ninth Avenue, was built one year later in 1974 and includes 213 units across 21 buildings on 11 total acres. Ten49 offers only two-bedroom units. Both properties have undergone recent rebranding and capital improvements on a portion of their apartments, including new flooring, appliances and fixtures. Community amenities at both locations include a clubhouse/leasing office, fitness center, pool, BBQ areas, mature landscaping and on-site laundry.
CBRE also completed the $2.9 million sale of a 23,960-square-foot multi-tenant retail shopping center located at 430-498 North Murray Boulevard in Colorado Springs. Parker Brown, Matthew Henrichs and Brad Lyons with CBRE Capital Markets, National Retail Partners, in Denver represented the seller, a private investor from Salida.
“Town and Country provided a strategic investment opportunity as it offered both stable cash flow from existing national brand-name retail tenants as well as the opportunity to add value by leasing up the remaining vacant space,” said Brown. “While a local investor purchased this property, it’s indicative of a national trend. We are seeing capital sources from across the country turning to secondary markets like Colorado Springs to discover untapped retail investment opportunities with promising returns.”
Built in 1986, Town and Country includes two single-story, multi-tenant buildings plus a 2,560-square-foot pad site occupied by 7-Eleven. With 11 retailer sites, the tenant roster includes a mix of restaurants, local businesses and national brands like Jackson-Hewitt, MetroPCS and EZ Pawn. The Town and Country shopping center is located just east of North Academy Boulevard at the intersection of Platte Avenue and Murray Boulevard, which sees average traffic volume in excess of 45,650 vehicles per day.
Marcus & Millichap Announces Sale of Multifamily Property for $57.8M
Marcus & Millichap announced the sale of the Vistas at Jackson Creek, a 267-unit apartment building located in Monument. Nick Steele, senior associate, and Jacob Steele, first vice president of investments, represented the buyer, a private investment entity that purchased the asset for $57,820,990.
“Colorado Springs is one of the top-performing apartment markets in the country currently and Northern Colorado Springs, which includes Monument, has some of area’s highest rents,” commented Steele. “Vistas at Jackson Creek is positioned to benefit from the continued strength of the Colorado Springs market as well as rapidly growing suburban Denver communities to the north. The asset should prove to be a well-considered investment for our clients for years to come.”
Built on more than 14 acres in two phases in 2014 and 2016, Vistas at Jackson Creek is located south of downtown Monument off Jackson Creek Parkway, approximately one-half mile east of Interstate 25. The property features a mix of one-, two- and three-bedroom floor plans in 12 three-story walk-up buildings. Amenities include a clubhouse, playground, dog wash station, pool/hot tub, fitness center, business center, guest suite, detached garages and a coffee bar.
Broad Street Realty Acquires 209,953 SF Greenwood Village Shopping Center
Broad Street Realty, a market-leading national commercial real estate services firm, announced the acquisition of The Shops at Greenwood Village, a 209,953-square-foot community shopping center located at 9600 East Arapahoe Road.
“The Shops at Greenwood Village is our second acquisition in Colorado and continues our plan to expand our presence there,” said Tom Yockey, president of Broad Street
Realty. “We are excited to become part of this thriving Denver area community and look forward to strong relationships with our tenants.”
The Shops at Greenwood Village includes anchor tenants Smashburger, Volcano Asian Cuisine, USPS and Napa Havana Auto Parts. This acquisition continues Broad Street Realty’s strategy of pursuing value-added and opportunistic retail and mixed use properties in well located highly trafficked area’s that appeal to value oriented shoppers.
Pinnacle Announces 3 Sales in Denver
Pinnacle Real Estate Advisors, LLC announced the sale of 4239 Shoshone Street located in Denver. The 2,522 square foot multifamily building sold for $840,000 ($333 per square foot).Principal Matt Lewallen represented the buyer, WHTC Partners LLC, and seller, Leroy Opp, in the transaction.
“The seller had owned the property for a very long time and was looking forward to moving his equity into other assets in preparation for retirement. At the same time, the buyer is excited to renovate and redevelop the property, bringing it to its next life,” stated Lewallen.
Pinnacle announced the sale of 2851 Colorado Boulevard located in Denver. The 4,950 square foot retail building sold for $940,000 or $189.90 per square foot. Jamie Mitchell, Principal, represented the seller in the transaction. Associate Advisor Chris Student and Principals Justin Brockman and Jules Hochman represented the buyer in the transaction.
Pinnacle also announced the sale of 2199 South Parker Road in Denver. The multi-tenant retail building sold for $1.44 million ($133.33 per square foot). Hochman, Brockman and Student represented the buyer in the transaction.