CREJ

JUNE 5-18, 2019 Digging in Construction starts on a $50 million mixed-use development in Green Valley Ranch INSIDE Senior financing Walker & Dunlop structures financing for three Colorado senior properties Bells & whistles Milestone Apartment Group plans its latest amenity-rich community in Lafayette 28 36 16 FEATURED Diversity A portfolio with student housing and conventional apartments trades for $68.5 million 29 CONTENTS Office 8 Multifamily 12 Retail 16 Industrial 18 Hotel 24 Boulder County 28 Larimer & Weld Counties 29 Colorado Springs 31 Law & Accounting 34 Finance 36 Who's News 42 CDE News 2AA by Jill Jamieson-Nichols TheArrow Electronics World Headquarters building in Cen- tennial changedhands for $40.1 million, or $312.06 per square foot, according to Arapahoe County records. The buyer is a Florida-based asset management company, Kawa Capital Management. “Kawa is excited to announce the acquisition of the Arrow property,” said Dan Amer, director of investments at Kawa Capital Management. “The investment was com- pleted through a fund that targets triple-net assets leased to investment-grade-caliber tenants with long-term leases. The investment is well-aligned to offer our clients long-term growth and capital preserva- tion, with strong cash-on-cash yields.” The 128,500-square-foot building is located at 9201 E. Dry Creek Road. Arrow Elec- tronics Inc., a Fortune 500 com- pany with more than 20,000 employees around the world, has several years remaining on its lease. The building was construct- ed in 2001 and is about a half- mile from the Dry Creek light- rail station. It features modern finishes, large floor plates and more than four parking spaces per 1,000 sf. The CBRE team of Mike Winn, Tim Richey, Charley Will, Chad Flynn and Jenny Knowlton handled the transac- tion. An affiliate of Lexington Realty Trust bought the Arrow Electronics building in 2004 for $24.88 million, according to assessor’s records. Arrow Elec- tronics signed a long-term lease for the entire building in 2014. Last fall, Lexington, Lepercq Corporate Income Fund LP and an affiliate of Davidson Kemper Capital Management LP formed a joint venture that acquired the Arrow building and 20 other U.S. office assets for $726 million, according to a Securities and Exchange Com- mission filing. In addition to theArrow Electronics building, two other Colorado headquar- ters buildings were included in that deal: The TriZetto Corp. building at 9655 Maroon Circle in Englewood and the Glob- al Healthcare Exchange Inc. building in Louisville. Both recently were being marketed for sale. ▲ Arrow Electronics World HQ building trades by Jennifer Hayes A Los Angeles-based real estate investment and asset management firm added to its Denver portfolio with its purchase of the Cedar Run Apartments in one of the largest recent multifamily transactions in the Lowry submarket. Gelt Inc. paid $62 million, or $161,500 per unit, for the 384-unit community at 888 S. Oneida St., west of Quebec Street, in Denver. The sale, according to Newmark Knight Frank research, was the largest multifamily transaction in the Lowry submarket in the past 18 months. Jeff Harris, chief operating officer with Gelt, noted that the company plans to improve the asset through a strategic ren- ovation program to meet the growing demands of renters. Work will include renovating unit interiors by installing vinyl plank flooring throughout, new cabinet faces, hardware, light- ing fixtures as well as resurfac- ing countertops. Commonarea improvements include renovating the leasing office, business center andgym, and adding a dog park, pack- age locker room and upgraded barbecue area. The clubhouse also includes the original devel- oper’s office space – to the tune of several thousand square feet – which will be converted to more usable amenity space. Maxx Properties sold the community, which was con- structed in 1970 and partially renovated between 2012 and Cedar Run community sells for $62 million The building at 9201 E. Dry Creek Road in Centennial serves as Arrow Electronics’ World Headquarters. The sale of the 384-unit community is one of the largest to recently close in the Lowry submarket. Please see Cedar, Page 33

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