Home » MHN City Pages  »  Denver  

WP HTTP Error: A valid URL was not provided.

City Office REIT Inc. to Acquire 197,000-Square-Foot Plaza 25 in Denver

28 May 2014, 10:01 pm

By Gabriel Circiog, Associate Editor

City Office REIT Inc. recently announced it has entered into an agreement to acquire Plaza 25 in Denver for a purchase price of $25.1 million. As major conditions to the acquisition have been satisfied, the transaction is expected to close in early June 2014.

Located in the Greenwood Plaza submarket of Denver, Plaza 25 is an office park featuring two three-story office buildings and one four-story office building. The combined structures offer 197,000 rentable square feet.

“We believe Plaza 25 represents an ideal first acquisition for City Office REIT. It is located in Greenwood Village, one of Denver’s top submarkets with proximity to executive housing, a strong educated employee base and an abundance of transportation networks including a light-rail station,” says James Farrar, CEO of City Office REIT.

Built in 1981, Plaza 25 was completely renovated in 2006. The property is flanked by the city’s Southeast Light Rail line and is within walking distance of the Arapahoe Station. Plaza 25 is currently 93 percent occupied and, based on the purchase price, is expected to generate an initial full-year cash net operating income yield of around 8.1 percent.

“The property is situated with Interstate 25 frontage and benefits from Greenwood Village’s numerous amenities,” Farrar says. “With its below market in-place rents and stable tenant base, we believe that Plaza 25 will continue to benefit from Denver’s strengthening leasing conditions and deliver our investors increasing cash flow. City Office REIT continues to review a strong pipeline of acquisition opportunities within our target markets and we remain focused on growing our portfolio and enhancing stockholder value.”

Click here for more market data on Denver.

Logo Courtesy of: www.cityofficereit.com

Brookfield Office Properties Inc. Sells 50 Percent Stake in Denver’s Tallest Building to MetLife

21 May 2014, 10:16 pm

By Gabriel Circiog, Associate Editor

Brookfield Office Properties Inc. recently announced it has sold a 50 percent stake in the Republic Plaza office building and entered into a 50/50 joint venture partnership with MetLife on the office tower in a transaction valuing the property at $480 million. Net proceeds to Brookfield are around $98 million. Brookfield will retain management and leasing responsibilities at the property.

“Brookfield looks forward to its continued ownership and operation of Republic Plaza and our newly formed joint venture with MetLife,” says Mark Brown, global chief investment officer of Brookfield Office Properties. “Our investments in the thriving Denver central business district continue to perform extremely well.”

At 56 stories in height, Republic Plaza is the tallest building in Denver. Built in 1984 and designed by Skidmore, Owings & Merrill, the skyscraper features 1,279,000 square feet of office space, 48,000 square feet of retail space and 511 parking spaces. The building is currently 95.2 percent leased with a weighted average remaining lease term of six years in place. The two largest tenants in the building located at 370 17th Street in Denver are Encana Gas & Oil and DCP Midstream. The two companies occupy just under 50 percent of the tower’s office space, with leases that expire only in 2019 and 2023, respectively.

“Republic Plaza is a trophy office tower in a core real estate market,” says Robert Merck, senior managing director and global head of real estate for MetLife. “Brookfield is an experienced and successful owner and operator of office properties and we are looking forward to expanding our partnership with them.”

Brookfield also owns and operates Denver’s second tallest building, 1801 California Street. The company recently completed a $50 million renovation program of the tower which included a new entrance plaza, interior lobby and restaurant.

Photo Courtesy of: www.brookfieldofficeproperties.com

United Properties Acquires 24 Acres and Expands EBC Development in Stapleton

14 May 2014, 3:20 pm

By Gabriel Circiog, Associate Editor

United Properties recently announced that it will expand its industrial development Enterprise Business Center. The Minneapolis-based developer and investor has acquired an additional 24 acres east of its EBC development from Forest City Stapleton Inc., the master developer for the redevelopment of Stapleton.

“We’ve had a tremendous amount of activity at EBC, which spurred our acquisition of additional land for more industrial development,” says Kevin Kelley, vice president, United Properties.

Situated near the southwest corner of Interstate 70 and Havana Street in Denver, the second phase of the EBC development is planned to feature a 467,000-square-foot bulk cross-dock industrial building.

The first phase of the Class A industrial development is currently under construction and upon completion will feature four buildings with 700,000 square feet of space. Around 600,000 square feet of that space is already leased or is pending final lease.

United Properties broke ground on the first two buildings in 2013 and Swire Coca-Cola USA has taken up all 257,000 square feet of one industrial building. Approximately 55 percent of the other 231,000-square-foot building is leased to Tire Rack and United Properties is in final negotiations with another tenant for 50,000 square feet of the remaining space. Tire Rack and Swire Coca-Cola USA are scheduled to move into the first two building in the summer of 2014.

United Properties recently started construction on the second set of industrial buildings at EBC, featuring a total of 100,000 square feet each. Two leases have been signed and one tenant will occupy an entire building while the other building is 44 percent pre-leased. The two tenants will move into the two new buildings in November 2014.

Click here for more market data on Denver.

Photo Courtesy of: www.uproperties.com

Griffis Residential Acquires 288-unit Apartment Community in Aurora for $40.8 Million

7 May 2014, 8:47 pm

By Gabriel Circiog, Associate Editor

Denver-based Griffis Residential recently announced the acquisition of the City Lights apartments. Located in Aurora, Colo. near the Fitzsimons Medical Campus, the Class-A community features 288 units and was purchased for $40.8 million.

The City Lights transaction was completed in a joint venture with PCCP LLC, becoming the fifth transaction for the partnership.

The City Lights acquisition is the second of the year for the company, taking the total tally of Class-A multifamily units that Griffis Residential owns and manages to 5,718. In January the company acquired The Wellington apartments, a 332-unit community in Las Vegas.

“City Lights apartments presents a compelling opportunity to apply our time-tested multifamily property investment strategy,” says Griffis Residential CEO David Birnbaum. “We see a bright future for City Lights due to its proximity to the strong labor market within the Fitzsimons Medical Campus and easy access to DIA and downtown Denver via the expanding public transit system adjacent to the property. Bolstered by a waiting list at City Lights for premium apartment units, we also have a ripe opportunity to implement our targeted capital improvement program, which is one of the cornerstones of our overall investment strategy.”

The company also announced that the newly acquired property will be renamed Griffis Fitzsimons South. Built in 2008, the community is located adjacent to the future 2nd and Abilene Street light rail station and just 2.5 miles from the Fitzsimons Medical Campus. The garden-style property offers six floor plans from one- to three-bedrooms, ranging in size from 637 to 1,439 square feet. Griffis Fitzsimons South features numerous high-end amenities including direct access garages and car ports, a clubhouse, fitness center, business center, heated pool and spas and a conference room.

Click here for more market data on Denver.

Photo Courtesy of: www.griffisfitzsimonssouth.com

Construction Starts on New Charter Technology and Engineering Center

1 May 2014, 2:28 am

By Gabriel Circiog, Associate Editor

Charter Communications Inc. recently announced that construction has started on the Charter Technology and Engineering Center, a new research and development facility.

Located in the Compark Business Campus Metropolitan District in unincorporated Douglas County, Colo., the new 85,000 square foot facility will house the Advanced Engineering teams, a large testing lab and resources for the Product, IT, Network Operations and Care teams.

Charter Technology and Engineering Center is expected to be operational by the end of the year and will ultimately house over 200 technical staff, including 55 new full-time employees and 45 new full-time contract positions. Charter

“Charter is pleased to build our lab in Colorado, a state with a long and impressive history in the cable industry,” says Senior Vice President and Chief Technology Officer, Jay Rolls. “Taking technical innovations from concept to customer involves a great deal of integration and testing. Having a state-of-the-art facility will allow Charter to expedite that process and give us an even higher degree of confidence in successfully rolling out amazing new innovations.”

The new facility, which will be double the size of the company’s current labs, will feature raised-floors and a climate-controlled lab environment which will allow Charter to develop and test it’s residential and commercial service offerings for high speed internet, video, voice, and mobile apps.

“CTEC is where we will move solutions through the product development cycle, from proof-of-concept, to Quality Assurance testing, to certification of readiness for launch, all focused on new cable telecommunications technologies,” Rolls says. “We also felt Denver was a great high tech recruiting location. There’s a large base of talent in the area, and it is also attractive to candidates who would consider moving. It’s a great environment where we can work on future technology and innovation.”

Click here for more market data on Denver.

HFF Secures Financing for Hudson’s Bay Centre in Denver and Bella Springs in Colorado Springs

23 Apr 2014, 6:47 pm

By Gabriel Circiog, Associate Editor

HFF recently announced that it has secured $21.5 million in financing for the Hudson’s Bay Centre. Working on behalf of the borrower, a 50-50 partnership between MDC Realty Advisors USA Inc. and Artis REIT, HFF placed the seven-year, 3.76 percent, fixed-rate loan with Principal Real Estate Investors. The loan proceed were used to acquire the Class A, 172,912-square-foot office building.

Located at 1600 Stout Street, along the mile long 16th Street Mall in the Midtown East section of Denver’s central business district, the 20-story transit-oriented Hudson’s Bay Centre is currently 96.4 percent leased. The property is adjacent to the 16th and Stout Station RTD light rail station and close to the 16th and California Station.

Over in Colorado Springs, HFF closed the $48.5 million sale of Bella Springs, a class A multi-housing community. HFF marketed the property on behalf of a joint venture between Griffis/Blessing Inc. and Consolidated Investment Group. The property was acquired by The Praedium Group and HFF secured a $31.525 million, five-year, 3.08 percent, interest only acquisition loan on behalf of the buyer through a life insurance company.

Located at 1050 Milano Point, the 364-unit Bella Springs was completed in 2001 and the property is currently 95 percent occupied. The community features numerous amenities, including a heated resort-style swimming pool and spa, fully-equipped fitness center, clubhouse, theater room and business center.

“In addition to its proximity to the prestigious United States Air Force Academy and the highly anticipated Copper Ridge mixed-use development, Bella Springs sits within one of Colorado Springs’ highest demographic areas.” says Jordan Robbins, director HFF investment sales team. “Furthermore, the asset is situated within the Academy School District 20, which is widely recognized as one of the top school districts in the State of Colorado. Coupled with outstanding panoramic views of the Rocky Mountains and numerous community amenities, Bella Springs presented prospective buyers with a high-quality investment opportunity with significant upside by continuing a proven value-add strategy.”

Photo Courtesy of: www.gbbellasprings.com

Northstar Commercial Partners Acquires Former Aurora Medical Pavilion

16 Apr 2014, 5:03 pm

By Gabriel Circiog, Associate Editor

Northstar Commercial Partners recently announced the acquisition of a four-story building, formerly known as the Aurora Medical Pavilion.

Located at 830 North Potomac Circle, the 113,568-square-foot building sits on 5.34 acres with interstate frontage on I-225 between 6th Avenue and Colfax Avenue. Northstar Commercial Partners plans to revamp the property for medical office use or to convert it to a patient/family housing facility dedicated to those people receiving medical care at nearby facilities.

“Aurora is a major center of medical services for our state, region and country,” says Brian Watson, founder and president of Northstar Commercial Partners. “We want to create a premier housing/care facility so that patients and families can stay in comfort while receiving world-class medical care nearby.”

According to Watson, the redeveloped facility could provide lodging for up to 200 people. The Colorado-based company is willing to develop the project and lease it to firms in the medical industry or related sectors. The major advantages of the property are the prime location, lower cost and immediate availability to serve the major medical facilities in the area.

The building was acquired for $3.4 million from NCWP – Aurora Medical Pavilion LLC by 830 Potomac LLC, an ownership entity created by Northstar Commercial Partners. Situated close to the University of Colorado Anschutz Medical Campus, the property is adjoined to the south by The Medical Center of Aurora, to the north is the Spalding Rehabilitation Hospital and the Ronald McDonald House. According to estimates from the Aurora Economic Development Council over $4 billion has been invested in new and existing medical facilities in the area.

Marriott Hotels Expands in Colorado with 215-Room Denver Marriott Westminster

11 Apr 2014, 8:39 pm

By Gabriel Circiog, Associate Editor

Etkin Johnson Real Estate Partners and White Lodging Services recently announced the opening of the full-service Denver Marriott Westminster hotel and Tiller’s Kitchen & Bar restaurant in Westminster, Colo.

The 215-room hotel broke ground in August 2012 and has become the first newly constructed, full service hotel in the Denver/Boulder corridor to open in over ten years. The six-floor Denver Marriott Westminster features 12,000 square feet of event, ballroom and meeting space and a new guestroom design.

Tiller’s Kitchen & Bar features a distinctly American menu character which celebrates the bounty of craft producers, local farms, Colorado Ranches and sustainable food sources.

“I am excited for the hotel opening and to represent the Marriott brand here in Colorado,” says Dave Kennedy, General Manager at Denver Marriott Westminster. “We are looking forward to welcoming guests and providing a quality experience for both visitors and those that live in the local community.”

Kennedy, in the past, was the general manager at the Renaissance Flatiron Hotel in Broomfield, Colo. and has joined White Lodging in 2002 as a regional director of training and recruiting. In 2003 he was promoted to general manager of the Boulder Marriott Hotel. Stasia Patience, with over 33 years of experience working for Marriott branded hotels, will join the Denver Marriott Westminster team as director of sales and marketing.

The Denver Marriott West also recently announced it has undertaken a $1 million renovation which aims to bring the beauty of its surroundings indoors. The renovation will cover all public spaces and the Copper Creek bar and restaurant, the casual American eatery undergoing a complete transformation.

Located at 1717 Denver West Boulevard, The Denver Marriott West, features 303 rooms and two suites. The hotel also features 15 meeting rooms with 10,300 square feet of flexible event space, two concierge levels, Starbucks, indoor and seasonal outdoor pools and a fitness center.

Rendering Courtesy of: www.marriott.com

KTGY Group Inc. Announces Phase III of the Vallagio at Inverness

3 Apr 2014, 6:06 pm

By Gabriel Circiog, Associate Editor

KTGY Group Inc., Architecture + Planning, recently announced that construction has started on Phase III of the Vallagio at Inverness. The transit-oriented master-planned development is located in southeast metropolitan Denver. Vallagio III, situated on the southeast corner of I-25 and Dry Creek Road, will add a total of 364 new homes to the project.

Developed by Englewood-based Metropolitan Homes Inc., Vallagio features a retail center, dedicated light rail station with a covered pedestrian bridge, open spaces and public art. Upon build-out Vallagio will include an estimated 1,000 residences.

Vallagio is situated just minutes from South Denver and Downtown, with easy access to the nearby light rail stop and I-25. Centennial Airport is less than ten minutes away and residents are close to numerous world-class resort amenities available at the Inverness Hotel, Conference Center and Golf Course.

On Lot 1 of the development, along the world-class Inverness Golf Course in The Resort Collection neighborhood, 36 for-sale single-story attached villas are under construction. Dubbed Taliesin Pointe, the lot features Ranch-style golf villas that vary in size from 2,800 to 4,700 square feet. After analyzing the previously designed footprints of Woodley Architectural Group Inc., the original architect, KTGY developed new plans for 30 of the units in order to meet the preferences of today’s buyers.

KTGY provided updates to the original design, provided by Kephart Architects, of Amberley Heights, a 96-unit luxury apartment community on Lot 2. The community features two four-story 48-unit mid-rise apartment buildings with one-, two-, and three-bedroom units averaging 1,600 square feet.

Over on Lot 3, KTGY designed Waller Commons, a 232-unit apartment community that features one- and two-bedroom units ranging in size from 800 to 1,350 square feet. The community will include a 4,500-square-foot clubhouse with a pool, fitness center, spa and community room.

“Residences at Vallagio are highlighted by classic exteriors, meticulously designed to mix seamlessly in a beautiful, park-like setting complete with landscaped gardens, public art, and a unique pedestrian orientation,” says Michael Ohara, AIA and principal at KTGY. “The homes offer low maintenance living; the lock and leave lifestyle that is desired by the diverse target market.”

Photo Courtesy of: www.vallagio.com

RingCentral Inc. Expands Denver Office

27 Mar 2014, 11:57 pm

By Gabriel Circiog, Associate Editor

San Mateo-headquartered RingCentral Inc. recently announced that the company is expanding its Denver office. The company provides cloud business communications solutions and had opened the Denver office in 2011 to increase sales, technical and customer support personnel as the company expanded nationally. Denver was chosen for its proximity to customers and access to a rich local pool of tech-savvy talent. In less than three years, the Denver office grew to over 100 employees. Over the next 12 to 18 months, RingCentral plans to nearly double its Denver area workforce.

Regional Vice President of Sales and General Manager of RingCentral’s Denver office, Dave DeMink, said in a statement: “The company is experiencing rapid growth and we are investing heavily in our most important asset, our people, as we innovate and scale. We expect the enterprise market to drive the next era in RingCentral’s success, and the Denver organization is a competitive differentiator for the company as we focus on growing local implementations and supporting our expanding up-market customer base.”

In other local news, the University of Denver recently announced that Denver philanthropists Anna and John Sie have donated $17 million to the University of Denver’s Josef Korbel School of International Studies. The donation is the largest single private gift in the 50-year history of the Josef Korbel School and will fund the construction of a 43,000-square-foot building for the school.

The new construction will adjoin the school’s existing Cherrington Hall and the Sié Chéou-Kang Center and will form the Anna and John J. Sie International Relations Complex. University Architect Mark Rodgers and architectural firm Anderson Mason Dale are collaborating on the final design and groundbreaking is scheduled to take place in late summer of 2014. The construction is planned to be completed by December 2015.

Logo Courtesy of: www.ringcentral.com

Leave a Reply