December 3-December 16, 2014 —
COLORADO REAL ESTATE JOURNAL
— Page 3AA
Office
Industrial
by Jill Jamieson-Nichols
Amajor industrial supplier pre-
leased 261,000 square feet of space
in a speculative building Prologis
is developing at Stapleton Busi-
ness Center North.
HD Supply Facilities Main-
tenance Ltd. signed a long-term
lease for space in the building at
1000 E. 56thAve. in Denver, bring-
ing the 1.2 million-sf business
park to nearly full occupancy. The
392,425-sf building is scheduled
for completion early next year.
The move represents a big
expansion locally for HD Supply,
whichwill relocate from136,400 sf
at Mile High Business Center.
Also, “It’s an indication of con-
tinued strength of the (industrial)
market,” said Jim Bolt of CBRE,
who represented Prologis with
CBRE’s Mike Camp and Bill
Thompson, along with Wayne
Barrett of Prologis.
CBRE’s Doug Viseur repre-
sented HD Supply, one of North
America’s largest industrial distri-
bution companies.
The state-of-the-art cross-dock
distribution building features
32-foot ceiling clearance, 24 dock-
high doors, 185-foot truck courts
and 20 trailer parking spaces. It is
targeted for LEED certification.
HDSupply’s lease is the second-
largest prelease transaction at Sta-
pleton Business Center North in a
little less than a year. Czarnowski
Display Service leased 258,000 sf
there in late 2013.
“We are pleased to extend our
relationship with HD Supply to
seven U.S. markets,” said Scott
Lamson, Prologis Northwest
Region president. “Our mar-
ket occupancy in Denver is at a
15-year high of 95 percent, andwe
are developing logistics facilities to
meet demand for Class Aproduct
while monetizing our land bank.”
Denver-based Prologis owns
andoperatesmore than 5.5million
sf of industrial space in 31 build-
ings in the Denver area.
s
HD Supply will occupy the bulk of a building under construction at Stapleton Business Center North.
by Jill Jamieson-Nichols
A food company that gobbled
up Albertsons’ former distribu-
tion facility almost two years ago
came back for another helping.
An entity affiliated with Ste-
ven Roberts Original Desserts
bought Albertsons’ former
regional headquarters building
and two land parcels at Inter-
state 70 and Tower Road for
$1.8 million. The 11,414-square-
foot office building and land are
located at the entrance to the
386,000-sf distribution center at
2780 N. Tower Road.
“While we have been market-
ing the office building and land
sites since early 2013, it wasn’t
until this summer that Steven
Roberts appeared to have sig-
nificant inter-
est,” said Ron
Webert of Lee
& Associates
Denver, who
represented
Al b e r t s on s
LLC in the
transaction.
“The
two
land sites and
office build-
ing are located at the entrance
to their distribution center, and
it makes sense for them to con-
trol this ground as well,” he
said.
Steven Roberts Originals
plans to occupy the office build-
ing and will hold the land sites
– 4.86 and 3.05 acres – for future
needs, Webert said.
The single-story building was
constructed in 1983.
Tom Myers of Unique Proper-
ties LLC-TCN Worldwide rep-
resented Steven Roberts Origi-
nal Desserts in the acquisition.
Steven Roberts Originals and
subsidiary Ticklebelly Desserts
produce desserts sold in restau-
rants, hotels and grocery stores.
Other News
n
An affiliate of
pillows.com,
which sold its building on South
Acoma Street in Denver to a
cannabis grower for a hand-
some profit, purchased an
approximately 102,000-square-
foot building on seven acres at
11100 W. Eighth Ave. in Lake-
wood.
The buyer paid $5.75 million
for the property. It will occupy
22,400 sf of vacant space and
expand into additional space
as existing leases roll over.
Bruce Mawhinney
and
Mike
Wafer
of
Newmark Grubb
Knight Frank
were the listing
brokers.
Dominic DiOrio
of
JLL
represented the buyer.
s
Steven Roberts Original Desserts will occupy Albertsons’ former region-
al headquarters, which is next to SRO’s Denver bakery and distribution
facility.
Ron Webert
It’s not uncommon for a real
estate transaction to please the
buyer, the seller and the brokers,
but a recent $13.8 million office/
warehouse deal was particularly
rewarding.
“It was such a satisfying trans-
action from beginning to end. It’s
really a high-
light of my
career from
that
stand-
point, on top
of the fact that
it was a pretty
big deal,” said
CBRE’s Paul
Kluck, who
represented
the seller of
Oxford/Santa Fe Business Park
withMurray Platt, also of CBRE.
Oxford LLC bought the
190,613-square-foot park on 12.6
acres at 1800 W. Oxford Ave. in
Sheridan from Oxford/Santa Fe
LLLP. The property is directly
south of the River Point at Sheri-
ness center andwest of theOxford
light-rail station.
Oxford/Santa Fe Business Park
consists of 2,400-sf suites with
storefronts on one side and over-
head doors on the other. Bays are
80 feet deep and 30 feet long, and
can be combined in various con-
figurations.
The product type worked well
when it was built in the mid-1980s
and continues to work well today,
according to the buyer. Joe Barton,
and Phil Nolen and Doran Whita-
ker of Nolen & Co., which devel-
opeda number of buildings in that
part of the metro area, developed
it. Kluck was a “friendly competi-
tor,” leasing and managing anoth-
er office/warehouse property in
the vicinity.
Whitaker died in a bicycle acci-
dent in 2009, and Nolen passed
away in 2012. Their wives, Diane
Nolen and Joye Whitaker, contin-
ued to ownOxford/Santa Fe Busi-
ness Park, but had little experience
owning and operating real estate,
Following the recession, he
noticed Oxford/Santa Fe wasn’t
leasing up like surrounding prop-
erties. He and Platt arranged a
meeting with Diane Nolen, who
hired them to market the business
park just days before she died of
cancer. Working with a longtime
property team, Kluck and Platt
renewed and signed 28 leases
within about 12 months, bringing
the park – at 97 percent occupancy
– to the point that it could be mar-
keted for sale.
Joye Whitaker retained them to
sell the property.
“We had the ability to choose a
buyer. We chose a buyer we felt
was going to operate the prop-
erty similarly to how the Nolens
had operated the property, which
was strong tenant relations,” said
Kluck. “Throughout my career, I
have never had a more satisfying
closing. This was obviously the
biggest transaction of the owners’
careers and their biggest payout,
and they couldn’t be happier at
the outcome,” he said.
Builders Appliance Center,
Aspen Leasing andmultiple other
tenants occupy the park’s eight
buildings.
The Denver office of Homkor
Inc. assumed property manage-
ment and moved its Denver office
to Santa Fe/Oxford Business Park.
The new owner may make some
cosmetic improvements, but said
it plans no major changes because
the property continues to address
the needs of local, regional and
national small-business owners.
“Nolen & Co. not only built a
property, they also fostered a com-
munity and culture at OSFBP, and
Oxford LLC has every intention of
continuing Nolen & Co.’s legacy,”
the company said in a statement.
“Oxford LLC plans to own and
operate the property for a very
long time.”
s
Oxford/Santa Fe Business Park was 97 percent occupied at the time of
the sale.
Paul Kluck
