Colorado Real Estate Journal - June 19, 2019
A local investor paid $7.2 million, or $169.89 per square foot, for High Pointe Business Center, a Littleton flex building leased to three tenants. Middleton Properties LLC bought the 42,380-sf building at 8022 Southpark Circle from an affiliate of Colorado Springs-based Value Investment Group called High Pointe Colorado 11-30 LLC. Value Investment Group purchased the property at auction just over a year ago for $3.72 million and renewed a lease with the largest tenant, Eaton Corp., which has been at the property since 2002 and occupies 40 percent of the space. “That allowed us to create a few million dollars in value overnight, which was pretty exciting,” said Value Investment Group’s Garry Whiteley. “As soon as we hit the one-year mark, we put it up for sale.” “The property drew interest from a variety of commercial real estate investors, including high-net-worth private 1031 exchange buyers, domestic and offshore investment funds and family offices,” said Cory Gross of Marcus & Millichap, who listed the property with Marcus & Millichap’s Jake Shirek. “There is a lack of quality flex inventory on the market and a lot of private capital chasing high quality, netleased industrial product right now. “It’s a strong submarket with very low existing vacancy,” Gross said. High Pointe sits on an elevated, highly visible site in Hilltop Business Park, along U.S. Highway 85 at Southpark Circle. “It’s well located near C-470 and Santa Fe (U.S. Highway 85), so it’s convenient for the employees of the companies who work there,” said Gross. The building was built in 2001 with high-quality concrete tilt-up construction and the ability to add additional loading doors or demise space as needed in the future, he added. High Pointe features heavy office build-out with warehouse space in each unit. The buyer, who was completing a 1031 exchange from an industrial property in Denver, was attracted to the property class, as well as the building’s location and tenancy, according to Drew Goodman of Goodman Commercial Real Estate. Goodman represented the buyer with Mark Goodman, also of Goodman Commercial. Other News A division of GE Johnson leased 57,142 square feet of industrial space at Moncrieff Business Center, 14603 E. Moncrieff Place, in Aurora. The space was vacant only a short time due to its desirable infill location, 14,700-sf fenced yard and functionality, according to CBRE. CBRE brokers Jeremy Ballenger and Tyler Carner represented the landlord, Berkeley Partners. Located near Interstates 70 and 225, the building has dock-high and drive-in loading, ESFR fire sprinklers, 22- to 24-foot clear height, 12,210 sf of office build-out, and new LED lights, paint and carpet. Ballenger and Carner also leased the last available space at the 92,040-sf former Sports Authority building at 1050 Hampden Ave. in Englewood on behalf of owner Ogilvie Properties. Standard Interiors of Colorado signed a lease for 19,296 sf of space in the building, whose other tenants are Warming Trends and Earth Trex. Eric Fritzke and Gordon Ballinger of Trinity Team Real Estate represented Standard Interiors in the transaction.