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Page 6 - January 3-16, 2018
Office
950 17TH STREET
SUITE 1600
DENVER, CO 80202
T 303.825.8400
F 303.825.6525
Andy
PETERS
Camille
BACON-SCHULTE
Jina
LUMAN
Krisঞn
PINEIRO
Penny
NELSON
Thomas
BALMAT
Ma‚
BENDER
Alex
GANO
Meet the a‚orneys and legal professionals who have joined our team:
New faces & great deals.
We kept moving forward in 2017.
Bankruptcy / Foreclosures | Business Transacঞons | Commercial Liঞgaঞon | Eminent Domain | Financing | Land Use & Enঞtlement Ma‚ers
Real Estate | Regulatory Compliance | Restructuring | Tax | Trusts & Estates | Urban Renewal & Public / Private Partnerships | Workouts
by Jill Jamieson-Nichols
Kaiser Permanente’s acqui-
sition of 210,848 square feet of
office space inAurora was driven
by cost savings and efficiencies,
according to the company’s real
estate manager.
Kaiser bought Waterpark II and
III at 2350 and 2550 S. Parker
Road for $25.32 million, accord-
ing to public records. The health
care provider operates in about 60
percent of the space in the Class
A buildings, which sit next to
Waterpark I, a 194,000-sf building
Kaiser owns and occupies.
“We’ve gradually expanded
into space in those two buildings,
and when the opportunity came
up to purchase, we sat back and
looked at our long-term plans.
It just made sense to move for-
ward with the purchase rather
than continue to lease,” said Jim
Bergman, Kaiser Permanente real
estate manager.
“We’d rather focus our funds
on health care and health care
facilities, so anytime we can save
money through our real estate,
especially our administrative real
estate portfolio, we’re going to try
to do that.”
In addition, “We’ve been try-
ing to consolidate into one main
campus for a long time,” said
Bergman, citing efficiencies of
having administrative functions
in a single location.
The Waterpark buildings
provide a campus setting with
outdoor seating, walkways and
water features. They were built
in 1982 and 1984, and renovated
in 2014. The buildings are Energy
Star certified. Matrix Group Inc.,
which bought the buildings for
$14 million in 2010, was the seller.
Waterpark II and III were 97.2
percent occupied at the time of
the sale. Tenants include AT&T,
Wells Fargo and BonaKemi USA,
by Jill Jamieson-Nichols
Cress Capital acquired a promi-
nent office building on the Union
Boulevard corridor in Lakewood
with plans for a nearly $1 mil-
lion capital campaign to include a
new tenant amenity center.
The Newport Beach, California,
investor bought Union Tower, a
210,000-square-foot building at
165 S. Union Blvd., from TAReal-
ty in a $25.25 million off-market
deal. TA Realty had owned the
building since 2010 and in 2016
began a renovation that included
updating the lobbies and sever-
al floors. Cress plans to pick up
where TA left off and will add an
amenity center featuring a ten-
ant lounge, gym and conference
center.
“Union Tower is one of the top
office assets inWest Denver,” said
Tom Parnell, a partner in Cress
Capital. “The new amenity center
will be a true differentiator, put-
ting the building in a class of its
own among the competition.”
“We see a lot of potential in the
West Denver submarket,” added
Parnell. “With downtown rents
rising and commute times wors-
ening, it’s a market in which we
are seeing increased attention and
expect to see substantial growth.”
UnionTower is a 10-story build-
ing within a short walk of the
Federal Center light-rail station. It
is surrounded by restaurants and
sits next to a newly built luxury
apartment building.
“With so many walkable ame-
nities, including more than two
dozen restaurants, the light-rail
stop and the newBeacon85 apart-
ment building, Union Boulevard
is unique for a suburban office
location,” said Parnell. “We’re
seeing more demand from office
tenants for these types of ameni-
ties, particularly when moving
outside of downtown.”
Constructed in 1982, Union
Tower was 51 percent occupied at
the time of the sale.
A couple of large tenants,
Enserca Engineering andMaptek,
vacated the top two floors over
the last couple of years. Michael
Baker International, the largest
existing tenant, recently signed a
long-term lease for the building’s
top floor. New West Physicians
and Cherokee National Business
also are among multiple tenants
in the building.
Parnell said Union Tower has
seen interest from tenants repre-
senting a wide range of indus-
tries, including law, business
services, engineering and tech-
nology. “Often, executives and
employees live on the west side
of town, making Union Boule-
vard an ideal and logical place
to commute, especially given it is
still less than 15minutes to down-
town Denver,” he said.
CBRE’sMikeWinn, TimRichey
and Chad Flynn represented TA
Realty in the sale of Union Tower.
The building is the second office
Cress Capital will continue renovations at Union Tower and add a tenant
amenity center with a tenant lounge, gym and conference center.