Colorado Real Estate Journal - March 20, 2019
A California-based investment partnership picked up a Denver multitenant retail center for $8.6 million. The Shops at Green Valley Ranch comprises two freestanding retail buildings totaling 19,840 square feet on 2.81 acres at 4906-4998 N. Tower Road, at the intersection of Tower and Green Valley Ranch Boulevard, just east of Peña Boulevard and south of East 56th Avenue. “There continues to be a trend toward investment in high quality, street front retail assets, especially those tenanted by service and food-based retailers perceived to be less impacted by the e-commerce effect,” said Matthew Henrichs, senior vice president with CBRE Capital Markets, National Retail Partners, in Denver. “In Colorado, in particular, we are seeing strong interest from out-of-market investors due to our region’s strong population and job growth and relative proximity to core coastal markets.” CBRE’s Henrichs and Brad Lyons represented the seller, Lone Star Partners out of Houston. Seshu Velpuri of The AMR Group represented the buyer. The Shops at Green Valley Ranch, built in 2017, is fully leased to a mix of 11 national and local retailers, including Burger King, Sport Clips, Pizza Hut, Jimmy John’s, Cold Stone Creamery, David Nails & Spa, and GVR Dental and Orthodontics. The center also is adjacent to a high-performing King Soopers grocery store and its location along Tower offers storefront and signage exposure to more than 18,700 vehicles per day and is a five-minute drive from the Gaylord hotel and convention center. The buyer purchased the site as a cash-flow vehicle to diversify a personal wealth portfolio. Other News Amazon Books turned over a new page in Colorado. It opened its first Denver area store and 19th location overall with its Cherry Creek location. Amazon Books occupies approximately 4,500 square feet at 2787 E. Second Ave. in Denver. The store includes local sections for the Denver area, including Read Around Denver and Denver Books for Kids. The average star rating is 4.5 stars for the books in the store. Additionally, it features a device section, toys, games and other customer favorites. Amazon Books is open to all customers. Prime members pay the Amazon.com price in store, and customers who aren’t already Prime members can sign up for a free 30-day trial and instantly receive the Amazon.com price in store. Amazon also recently opened an Amazon 4-star store at Park Meadows. A single-tenant, net-leased retail property in Westminster recently traded at an approximately 5.75 percent cap rate. The Subway located at 9987 Wadsworth Parkway was purchased by a local investor, who was in a 1031 exchange. It paid $1.05 million in an all-cash deal. Justin Krieger of Pinnacle Real Estate Advisors LLC represented the buyer of the building, constructed in 1993, which features a drive-thru and is located in a King Soopers anchored shopping center. The out-of-state seller was represented by an out-of-state broker. Subway has occupied the approximately 1,600-sf building since it was built and recently extended its lease. “Inventory for single-tenant net-leased properties occupied by national credit tenants like Subway in metro Denver is very low, especially around the $1 million price point. My client was very excited to buy this deal, and we had to compete with multiple offers right off the bat,” said Krieger. Sportline of Arvada Inc. leased 8,500 sf of space at 6400-6530 Wadsworth Blvd., Suite 6510-100, in Arvada. NAI Shames Makovsky’s Sandy Feld and Jake Malman represented the landlord, Fairlanes Shopping Center.