Colorado Real Estate Journal -
A longtime Lower Downtown Denver property owner bought an office building across from Union Station in a quick, off-market deal. Choo Choo LLC, an entity created by Grand American Inc., bought the Union Square building at 1610 Wynkoop St. for $5.3 million, or $181.09 per square foot. “They’ve been in the Lower Downtown market for 30 years and they felt like it was a good time to invest, with Union Station coming on board. They’re very familiar with historic properties and look at Denver as a market that is showing good future values,” said Todd Silverman of NAI Shames Makovsky Realty. “They let us know that they were looking for an investment property. We were involved with 1610 Wynkoop and thought that might be a good fit for them,” said Silverman, who handled the transaction with Shames Makovsky broker Darrin Revious. The five-story building, which includes a rooftop deck, is approximately 90 percent leased, mostly to small, local users. Tenants include Wilbanks Reserve, Black Diamond Financial Group, IS Financial, M3 Insurance Solutions and others. According to Silverman, with more and more oil and gas companies, law firms and other professional users flocking to Lower Downtown, there is plenty of demand to buy office buildings, but few opportunities to do so. “There is a big move away from the central business district of those types of companies. LoDo is, from an office user perspective, maturing, growing up,” Silverman said. “A lot of people who currently own properties are looking at long-term opportunities. I think there is a lot of pent-up demand for some really quality historic – and new – office properties in Lower Downtown … People are interested in getting in prior to Union Station really happening.” Grand American bought 1610 Wynkoop from Union Square LLC. The deal closed in 35 days. Grand American also owns the Windsor Farm Dairy block between 18th and 19th, and Blake and Wazee streets, and the Platte River Rowing Club building in the 1700 block of Platte Street.