CBRE Brokers $28.7 Million Sale of 181,000-SF, Class A Office Portfolio in Southeast Denver
05 Nov 2020
CBRE announced the $28.7 million sale of The DTC Collection, a two-building, Class A office portfolio located at 5575 DTC Parkway and 4949 South Syracuse Street in Denver, Colo. Tim Richey, Charley Will, Jenny Knowlton and Chad Flynn with CBRE Capital Markets, Institutional Properties,in Denver represented Partners in the sale. Management purchased the 181,763-sq.-ft. portfolio in a sale that closed Oct. 30. C.J. Kelly, Brady O’Donnell and Jeff Halsey with CBRE Capital Markets’ Debt & Structured Finance group arranged the financing for the acquisition.
“The DTC Collection’s exceptional urban-suburban infill location in Southeast Denver provides significant advantages with direct access to the Belleview and Orchard light rail stations, walkability to dozens of restaurants and new multifamilycommunities, and a short drive from some of Denver’s best executive housing neighborhoods,” said Tim Richey, Vice Chairman, CBRE.
The north Denver Tech Center was experiencing unprecedented investor demand before the outbreak of COVID-19. The area, classified as north of Belleview, saw historic office investment sales volume in 2019. Seven properties traded that year, all brokered by CBRE, reaching $364 million in total sales volume, up 36 percent from 2018 and the highest level on recent record.
“This sale proves that office investment appetite persists for well-located opportunities in growing markets like suburban Denver. Investors do not make their decisions based on the short-term, and the north DTC holds a lot of promise for long-term resiliency and value,” said Charley Will, Vice President, CBRE
Terrace at Orchard Station, located at 5575 DTC Parkway, is a three-story building totaling 115,050 sq. ft. on 6.11 acres. Built in 1982, and renovated in 2008 and 2015, the property includes a state-of-the-art conference center, men and women’s locker rooms and showers,a structured parking deck and a web-based service request system.
4949 South Syracuse Street is a six-story building totaling 66,713 sq. ft. on 1.15 acres. Built in 1982, the property includes a two-story atrium and an attached parking structure.
“The DTC Collection is an excellent example of Partners' strategy of acquiring well-located office assets that benefit from property upgrades, proactive management, and tenant-focused customer service,” said Kevin Black, Chief Operating Officer at . “We were able to add value to these buildings by giving them the type of hands-on management they deserved, which included delivering enhanced customer service and modernizing the commons areas. The construction of spec suites – coupled with upgrades to the lobbies, entryways, restrooms, corridors, and elevators – improved the marketability of the properties and allowed us to capitalize on the assets’ strong demographics.”
Tenants across the portfolio represent a diverse mix of industries, including engineering, legal, financial services, software and automotive.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2021 revenue). The company has more than 105,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.