CREJ

DECEMBER 5-18, 2018 CONTENTS Getting out A boutique lodging company catering to outdoor enthusiasts comes to Colorado INSIDE Moving in Zocalo Community Development looks to transform an office building into multifamily units Second The Grove at City Center’s sale represents the second-largest sale to close in Aurora this year 10 4 16 FEATURED Metro Denver 4 Office 6 Multifamily 8 Industrial 12 Retail 14 Rebchook RE Corner 15 Boulder County 18 L arimer & Weld Counties 19 Colorado Springs 20 Finance 24 CDE News 36 Who's News 44 Yummm A Red Robin restaurant sells at one of highest price-per-foot comparables for the brand nationally 20 by Jill Jamieson-Nichols Denver-based DPC Cos. and partner Bridge Invest- ment Group are investing millions of dollars to take the 1.3 million-square-foot Denver West Business Park to the next level. DPC and Bridge Invest- ment, a privately held real estate investment manage- ment firm with more than $12 billion in assets under management, purchased the Lakewood office campus from HighBrook Investment Management. The price wasn’t disclosed, but Jeffer- son County records indicate the park sold for $143.65 million. DPC President Chris King said the deal creates the opportunity for impact- ful updates to the park, the largest office campus in the west metro area. “We feel very good about our going-in price and overall basis. We’re going to spend about $16 million updating the buildings. Our basis is low enough that we have the room to do that and really make significant improvements to the park,” he said. Denver West Business Park consists of 20 two- to five-story buildings ranging from 21,000 to 98,000 sf. DPC, Bridge take Denver West to next level by Jennifer Hayes A more-than-1 million- square-foot, 13-building office portfolio in Colorado Springs recently sold for $125.25 mil- lion. The sale of the Class A port- folio, comprising 1.02 mil- lion sf of office space across buildings located in various business parks in the city, sold to Crescent Real Estate LLC, according to public records. Patriot Equities sold the port- folio. “Co l o r a - do Springs c o n t i n u e s to attract n a t i o n a l interest due to its signifi- cant growth d y n a m i c , increasingly diverse economy and low-cost alternative when compared to Denver,” said Aaron Johnson of Cushman & Wakefield Denver’s Capital Markets group. “The institu- tional price point coupledwith multiple buildings within the portfolio suitable for private capital gave us great exposure across both buyer pools. The buyer recognized the value of the portfolio, the product mix providing diversified tenant options andmultiple exit strat- egies.” Johnson and Jon D. Hen- drickson, managing directors of the Denver Capital Markets group, along with the firm’s New Jersey and New York City offices, represented the seller in the transaction. The portfolio is located in various business parks in the north and southeast/airport submarkets, including Inter- Quest, Patriot Park, Aerotech and Peak Innovation Park, and all feature “excellent” identity and access to major north-south thoroughfares such as Interstate 25 and Pow- ers Boulevard. Included in the office portfo- lio were: • A five-story building at 10807 New Allegiance Drive in InterQuest. Built in 2009, the multitenant building com- prises 145,694 sf and was 88 percent occupied. • A single-story, 74,005-sf building at 9945 Federal Drive, also in InterQuest. Built in 2009, the multitenant building Crescent pays $125.25M for Springs portfolio Denver West Business Park stretches from West Colfax Avenue on the south to the north side of Interstate 70. Please see DPC, Page 46 The recently sold office portfolio in Colorado Springs spans 1.02 million square feet across 13 buildings in the city. Aaron Johnson Please see Crescent, Page 10

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