CREJ - Office Properties Quarterly - January 2015
Innovation is not always associated with commercial real estate development. But that didn’t stop three developers – George Wallace, John Madden and George Beardsley – from turning suburban Denver into a national pioneer in office park master planning and development. The notorious George Wallace was the founder and creator of the Denver Tech Center. His land assembly and master-planning skills initiated the vision for what has become one of the more vibrant and comprehensive office parks in the country. In the 1950s, with a desire to create an area where people could live and work comfortably, Wallace bought 40 acres between Interstate 25, Valentina Street and Prentice Avenue. With that, the Denver Tech Center was born. By 1965, Wallace had acquired nearly 1,000 acres. Soon to follow was the creative and entrepreneurial John Madden, who pioneered the west side of I-25 in Greenwood Village, when there was nothing but horse properties and old farms. Belleview and I-25 was an outpost on the southern extremities of Denver. The next interchange was not until the remote County Line Road, where Inverness would follow as the next major office park development under the leadership of George Beardsley. All three of these men were innovators ahead of their time. They had vision, courage and a keen sense for development that helped shape Denver’s economy since the 1960s. The developers pursued their own respective zoning and entitlements, and, as the market advanced, so did the developments. Following their own instincts and aesthetics led to respective successes. Beardsley is remembered for his strong belief in the balance of development with land conservation, while Madden is known for his blend of art, architecture and landscape. With individual flair, each office park has a distinct legacy and reputation that is largely connected to the founders of each park. The innovations transformed the high desert Plains of Denver into one of the most revered suburban office park assemblages in the country. Before the Urban Land Institute was mature enough to be a resource for development, developers learned from each other by taking the best practices and applying them to their respective developments. These men individually, and at times collectively, initiated comprehensive land development strategies that introduced water conservation, infrastructure funding, mass transit options, recreation, entertainment, culture and a wide variety of lifestyle features distinct to their own office parks. Over the last 40-plus years, the southern I-25 corridor evolved into the office park development handbook. Collaborations with special improvement districts, water and sanitation districts and inter-governmental agreements, strict development covenants, and a focused eye on aesthetics were all intelligently assembled in the pursuit of creating lasting values, as well as a place for people to enjoy where they worked. The development progress over the decades became more sophisticated with national office building, retail and housing developers placing their stakes in each of these parks. As growth moved south, so did the creation of yet another formidable office park: Meridian. Meridian was master planned under the skilled team of the Denver Tech Center ownership. Meridian advanced the lessons learned from the original office park developments and crafted a wellconceived extension of this proven trend. Each of these office parks has individual style and appeal. Inverness consists mostly of low- to mid-rise office buildings and the Inverness Hotel, as well as a golf course, restaurants and some retail. In the Tech Center, Greenwood Plaza is mostly low- and mid-rise office buildings, alongside the Greenwood Athletic and Tennis Club as well as mixed-use development consisting of high-rise buildings and Fiddlers Green Amphitheater. DTC is the most diverse and versatile south suburban office park due to its distinct mix of low-, midand high-rise office buildings, retail, service, single and multifamily residential, hospitality, hotels, education and recreation facilities. Each park attracts a group of office users that select one geographic location over the other for their own specific reasons, which created a competitive environment that permeates today. The progressive growth of the southern I-25 corridor generated an expansion in all phases of development, including public transportation, expansive residential developments and retail centers of all types. The Regional Transportation District’s light rail took decades to go from concept to reality, but today anchors each of the I-25 office parks with strategically placed stations. Centennial Airport is one of the country’s busiest private aviation airports, which caters from the sophisticated corporate fleets to the private aviation enthusiasts. Dove Valley is the home of the Denver Broncos, which adds even more caché to this remarkable economic engine. Park Meadows mall was a natural progression for southern I-25 corridor’s ever-growing market. This regional upscale shopping center was a magnet for a wide variety of other lifestyle retail, which eventually drew the iconic Ikea to this market. Well-planned and strategic growth continues. The prestige of this submarket has a national presence and reputation for the quality of the development, as well as the value of the real estate assets. School districts flourish, housing developments remain strong, sales tax collection continues to grow and the focus on the high quality of life continues to lead the way. The southern I-25 corridor still will feel the impacts of a recession, like anywhere else, but the market has demonstrated remarkable resilience and ability to recover over the decades. National developers and corporate headquarters are the norm today. It took decades to get to this point and progress continues at an impressive rate. This corridor may have taken a different course if it had not been for the vision, creative energy and appetite for risk exhibited by the original developer pioneers of Wallace, Madden and Beardsley. Their pioneering spirit has forever altered the real estate landscape of the south metro area, which has created billions of dollars of value.