CREJ

AUGUST 1-14, 2018 Office 4 Multifamily 10 Retail 12 Industrial 14 Rebchook RE Corner 16 Boulder County 18 Larimer & Weld Counties 22 Colorado Springs 23 Law & Accounting 28 Finance 31 Property Managment 34 Who's News 38 CONTENTS Great outdoors Large outdoor terraces are part of the attraction for tenants of a new Cherry Creek office building INSIDE Angling Construction financing accelerates development of an outdoor products company’s Montrose headquarters 12 In the bag A Florida-based buyer acquires its first Denver property with its purchase of a Littleton retail center Long flight Denver’s airport industrial submarket is going on 16 years of positive absorption, according to CBRE Inc. 14 31 4 FEATURED by Jennifer Hayes AMassachusetts-based real estate investment company made its entry into the Colo- rado market with its acqui- sition of 1600 Glenarm, a 31-story mixed-use asset in the heart of downtown Den- ver. Northland Investment Corp. paid $131 million, or $393,393 per unit, for 1600 Glenarm, which comprises 333 apartment units as well as approximately 29,000 square feet of commercial space. Northland Investment also acquired a 0.77-acre parking lot at 14th Street and Glenarm Place that could accommodate 305 residential units in a 31-story tower for a reported $4.5 million. “We are very excited to be entering the Denver market with the acquisition of a best- in-class generational asset. In many respects – a highly educated workforce, interna- tionally acclaimed health care and a high-quality, healthy lifestyle – Denver evokes Boston and Austin, two core Northland markets in which we have had great success,” said Matthew Gottesdiener, Northland’s chief investment officer. “It was a pretty marquee deal for Denver. We had a ton of interest in the asset,” said Jordan Robbins of Hol- liday Fenoglio Fowler, who represented the seller, a joint venture b e t w e e n R e d P e a k and Allstate Investments, in the dis- p o s i t i o n with HFF’s Jeff Haag and Anna Stevens, and pro- cured the buyer. “Denver is still really popular for people from an investment perspec- tive, especially when com- pared to other Western mar- kets.” Originally built in the 1960s as an office building and home to Security Life, Red- Peak purchased the property in 2004 and converted it into “one of the first true luxu- ry downtown high-rises,” added Robbins. It opened in 2006. The property features stu- dio, one- and two-bedroom and penthouse units that average 980 sf – big units in today’s downtown Den- ver apartment market, noted Robbins. Units also feature electronic entry locks, hard- Downtown’s 1600 Glenarm sells for $131M by Jill Jamieson-Nichols Tamarac Plaza sold for more than $45.3 million, marking the Canadian buyer’s first invest- ment in the Denver market. The acquisition gives Red- stone Group, one of British Columbia’s largest private commercial real estate com- panies, 335,269 square feet of office space in three buildings along East Hampden Avenue, just off Interstate 25. The seller, Parallel Capital Partners Inc., invested around $30 per sf in capital, and tenant, improve- ments to Tamarac Plaza since acquiring the property in late 2014. “We love the asset,” said Redstone Group Vice President Ayaz Velji. “It’s been through a great renovation – it looks great,” he said. In addition, “It has great amenities around it.” Those amenities – including a Whole Foods and 24 Hour Fitness across the street as well as several restaurants within walking distance – also have drawn tenants to Tamarac Plaza and helped increase the number of investors, particu- larly those new to Denver, who were interested in owning the buildings, according to JLL Executive Vice President Pat- rick Devereaux. “We experienced an influx of new buyers to Denver while marketing that property that were looking for office prop- erties with convenient, w a l k a b l e access to retail amenities,” he said. Ta m a r a c Plaza, locat- ed at 7535 and 7555 E. H a m p d e n Ave. and 7600 E. Eastman Ave. in Denver, is a five- and six- story office campus with two parking structures and on-site fitness center. It was 87 percent leased at the time of the sale. The tenant roster includes Western Sugar Cooperative, Farmers Insurance, Argosy University, Securitas, Bell & Pollock, Robinson & Henry, Yield Solutions and numerous others. The property has expe- rienced close to 180,000 sf of Redstone Group buys Tamarac Plaza The purchase of 1600 Glenarmalso included a parking lot at 14th Street and Glenarm Place that could accommodate 305 residential units. Please see Glenarm, Page 12 Farmers Insurance is among the larger tenants at Tamarac Plaza. Jordan Robbins Patrick Devereaux Please see Tamarac, Page 12

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