A joint venture between Corum Real Estate Group and Koch Real Estate Investments completed its $67.7 million acquisition of 210 University, a nine-story, 140,000 square foot office and retail building located at 210 University Blvd. in Denver, Colorado.
A JLL The Capital Markets team marketed the property on behalf of the seller and the previous owner of the building, KBS real estate advisers. JLL also helped the buyers secure a five-year fixed rate loan to finance the asset.
The JLL team representing the vendor was led by Senior Managing Director Mark Katz, Senior Director Hilary Barnett and Director Peter Merrion. A separate JLL team that represented buyers was led by Senior Manager Kristian Lichtenfels, Senior Managing Director Leon McBroom and Manager William Haass.
210 University was built in 1979 and underwent a complete renovation in 2009, according to data from CommercialEdge. The building houses a mix of Class A office and commercial space, and operates at a vacancy rate of 10.6%. Office tenants include Baird, Private Capital Management, US Bank, United Capital and Cherry Creek Imaging. The building’s commercial tenants are Little Ollie’s and Paradise Cleaners. The whole complex also includes an elevated car park. University 210’s location in the Cherry Creek North neighborhood of Denver places it less than 2.5 miles from downtown and the city’s central business districts, and fronts on University Blvd. and 3rd Ave. is within walking distance of many of the area’s popular cultural, recreational and commercial attractions.
Denver office sector slowly stabilizing
Denver ranks among the nation’s most stable markets for office construction and leasing as the sector slowly adjusts and recovers from pandemic-related woes. The city has 2.2 million square feet of space in its pipeline and a listing rate of $30.33, according to an August 2022 report from CommercialEdge. The city’s vacancy rate is also leveling off, up 130 basis points year over year, a significant improvement from the 510 basis point rise the market had seen over the past year. from the previous 12-month interval, a second quarter 2022 report of Cushman and Wakefield shows.
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Other recent high-profile office transactions in the Denver area include Menashe Properties Inc.’s $50 million purchase of Stanford Place III, a 370,000 square foot Class A office asset, as well as Schnitzer West LLC’s $196 million refinancing of its 740,000-square-foot Fiddler’s Green office portfolio.