HFF announces $50M financing for Luxury Mixed-use Property in Denver
Holliday Fenoglio Fowler, L.P. (HFF) announced $50 million in financing for 210 St Paul, the first phase of The St Paul Collection, an iconic mid-rise, mixed-use residential and retail property in Denver’s Cherry Creek North neighborhood.
The HFF team worked on behalf of BMC Investments to secure the 11-year, non-recourse, full-term, interest-only fixed-rate loan through Freddie Mac’s Lease-Up Loan Program. The loan will replace existing construction financing and will be serviced by HFF, a Freddie Mac Multifamily Approved Seller/Servicer for Conventional Loans.
The St Paul Collection is a two-phase development located at the intersection of St Paul Street and 2nd Avenue amid more than 2.5 million square feet of retail within walking distance to the property. The property’s central location also gives nearby access to major employers in Cherry Creek and Denver’s CBD.
Completed in June, 210 St. Paul comprises 81 luxury residences in a mix of one-, two- and three-bedroom floorplans as well as penthouses ranging in size from 770 to 2,800 square feet. The property also includes 11,000 square feet of retail leased to CB2, Crate & Barrel’s fresh approach to furnishings & décor. The second phase, which is not part of this financing, will add an additional 84 residential units and 44,000 square feet of retail space.
Designed by 4240 Architecture, St Paul Collection incorporates luxury condo-quality finishes and modern, open layouts.
The HFF debt placement team representing the borrower consisted of Director Brock Yaffe.
“Working with the HFF team in concert with Freddie Mac is a pleasure,” said Max Bresner, BMC’s chief operating officer. “HFF executed at a high level and procured very attractive long-term financing for this asset. Located in the heart of Cherry Creek, Denver’s most premiere submarket, we believe this asset enriches the neighborhood and sets a new standard in rental luxury living.”
Cushman & Wakefield Completes $40.75M Sale of 18875 East Bromley Lane in Brighton
Cushman & Wakefield announced the completed sale of Colorado’s largest industrial building at 18875 East Bromley Lane in Brighton. The 1.3 million-square-foot building, which is occupied by Sears, was purchased for $40.75 million according to Drew McManus, managing director of the firm’s Denver office.
McManus represented the seller, Brighton Lease Management, LLC along with Matt Trone and R.C. Myles both of Cushman & Wakefield. Newport Beach, CA-based Starboard Realty Partners LLC was the buyer.
“The offering of this high-quality single tenant facility generated substantial investor interest from a broad range of prospective buyers. Interested parties included domestic and foreign high net worth individuals, private equity and institutional investors. Starboard was selected and completed the acquisition in an efficient manner,” said McManus.
“With limited construction for larger distribution centers and the lack of infill land sites along I-70, we expect the I-76 corridor will continue to see increased demand,” added Dan Vittone, principal of Starboard Realty Partners. “We are excited about the prospect of repositioning this state-of-the-art project should Sears change their outlook for this regional distribution center.”
The total site size is approximately 104 acres and improved with a 1,305,000-square-foot regional distribution center, originally built for KMART in 1996. It has excellent accessibility to I-76 and 470. The property is situated on Bromley Lane, the entrance to the city of Brighton, with I-76 providing quick access to I-25, DIA, I-70, E-470 and I-80. The property is also proximate to numerous amenities including restaurants, medical facilities and other retailers.
$32.39M Seniors Housing Asset Trades Hands in Suburban Denver
Marcus & Millichap (NYSE: MMI) announced the sale of the San Marino Retirement Community, a 185,871-square-foot independent living, assisted living and memory care community in Westminster. The asset sold for $32,390,000.
“The new owner plans to significantly renovate the campus and improve occupancy, which was 90 percent at the time of sale,” says Sam Thompson of Marcus & Millichap’s Portland office.
Thompson and Tony Cassie facilitated the transaction. The seller is a private investor/ owner-operator. The buyer is a Chicago-based private equity firm. Bob Kaplan, vice president and regional manager in Denver is Marcus & Millichap’s broker of record in Colorado. The five-building San Marino Retirement Community was built in stages on 9.3 acres between 1987 and 1999.
Waterton Acquires Ridge at Thornton Station, an 18-Building, 280-Unit Multifamily Community in Thornton
Waterton, a national real estate investor and operator, announced it acquired an 18-building, 280-unit garden apartment community located in Thornton.
The property, located just north of Denver in close proximity to both the downtown Denver and Boulder job centers, consists of two phases, including 10 two-story buildings completed in 2016 and eight recently completed three-story buildings.
The community is immediately adjacent to the new Thornton Station of the Regional Transportation District’s North Metro Line, scheduled to open by 2020, providing access to commuter trains offering a 20-minute commute to downtown Denver. The Ridge at Thornton is just east of the intersection of Highway 44 and I-25, in close proximity to north Denver’s premier retail corridor.
“With the recent completion of Phase II, we are excited about closing on the Ridge and completing the lease-up. There is little new product in the Thornton submarket and there are no nearby communities located on top of a future light rail station. That competitive advantage will be a game changer for the community,” said Peter Kuzma, vice president of Acquisitions, who led the transaction. The addition of new amenities and the opening of the new rail station is expected to increase demand resulting in premium stabilized rents.
“The Thornton submarket enjoys healthy supply/demand fundamentals and is well-positioned to experience growth as the corridor continues to add jobs and infrastructure,” said Kuzma. “The combination of the market’s affordability and the recent improvements to transit infrastructure will not only lead to household growth but also an increase in employment opportunities for residents.”
- NavPoint Real Estate Group announced it has completed the sale of an office condo at 5420 S Quebec St Units 206 in Greenwood Village. The seller was Timberline Professional Center, LLC and was represented by Charlie Davis of NavPoint Real Estate Group. Todd Rosen of Elevate Commercial Real Estate, LLC represented the buyer, Geris Capital, LLC.
- Cushman & Wakefield announced the sale of Harmony Commons, a 25,701-square-foot Class A multi-tenant retail center, located at 3541 and 3581 East Harmony Road according to Steve Schwab, managing principal of the firm’s Denver office. The property was purchased for $13.15 million. Jon D. Hendrickson and Aaron D. Johnson, managing directors, of Cushman & Wakefield Denver’s Capital Markets Group represented the seller.
Millennium Plaza in Greenwood Village has sold for $85 million. The office building, located 6200 S Quebec St. near Fiddler’s Green Amphitheatre, was sold to Beverly Hills-based Kennedy Wilson by CBRE Global Investors LLC. The building is four stories tall and has 335,855 square feet, an on-site fitness center and cafe.
- SVN | Denver Commercial announced the lease of 9700 Alton Way in Henderson. After completing the acquisition of Neff Rentals late last year, United Rentals has now taken over and renewed their lease. Corey Murray, senior advisor of SVN/Denver Commercial, represented the investor/property owner in this transaction. Boasting 8 acres of yard space and 18,000 square feet of office/shop space, including a wash bay, this is an important hub for equipment rentals.
- Holliday Fenoglio Fowler, L.P. (HFF) announced the $4.725 million sale of Lincoln Professional Plaza, a 16,670-square-foot office building in the southeast suburb of Lone Tree. The HFF team marketed the property on behalf of the seller, affiliates of Lincoln Tower Dental Group and Tu Dentista, which are also tenants and will lease back their share of the property. Lincoln Professional Plaza is located at 8683 East Lincoln Avenue in one of the most affluent southeast suburbs of metropolitan Denver.