Westfield Purchases First Phase of Prime Denver In-Fill Site for Future Class A Industrial Development
10 Dec 2018
45-Acre Property One of Last-Remaining, Large-Scale Development Opportunities in Central Denver
CBRE announced today that it has arranged the sale of a 45-acre site located on the northwest corner of Pecos Street and West 56th Avenue in central Denver. Westfield Company, Inc. purchased the land from Rocky Mountain Prestress in a sale that closed Nov. 27, 2018. The 45-acre acquisition is the first phase of Westfield’s plans for the site, which will total more than 60 acres and represents one of Denver’s last remaining large-scale, in-fill opportunities.
“This location is one of the largest infill industrial sites ever to become available in central Denver. It’s an incredibly rare opportunity, offering a blank canvass for top-of-the-line industrial development. Surrounded by I-76, I-70 and I-25, it provides ideal access to both customers and labor and is perfectly positioned to capitalize on the growing Denver population base,” said Tyler Carner, who represented the seller along with CBRE’s Jeremy Ballenger and Jessica Ostermick.
The site is currently occupied by Rocky Mountain Prestress (RMP), which will relocate within the metro area. This sale will allow RMP to enhance their ability to continue to efficiently and effectively supply the highest quality precast/prestessed concrete structures throughout the Front Range.
The property is located in the central submarket, which is Denver’s second-largest industrial market and home to one of the region’s lowest industrial vacancy rates, averaging just 3.0 percent over the past 10 years. The site includes in-place Adams County industrial zoning. Its location in unincorporated Adams County also means tax advantages for future occupiers, and is also located in a Denver Enterprise Zone. It is serviced by Denver Water and Xcel Energy.
Situated just south of the Pecos and I-76 interchange, the property is within walking distance of the Gold Line Pecos Station light rail stop. Access to I-70 and I-25 are both nearby, while downtown Denver is less than five miles to the south. A newly completed flyover bridge on Pecos Street provides direct access between the property and I-76, with no stoplights, and I-70 is directly accessed just over one mile to the south off Pecos Street.
“The location is truly remarkable from a distribution standpoint providing superior highway access that is only minutes from downtown in the heart of metro Denver,” said Matt Mitchell, Vice President of Industrial for Westfield. Westfield is the Denver-based real estate investment, development and management company behind some high-profile Denver projects, including the Xcel-anchored, LEED Platinum-certified 1800 Larimer office building downtown, the new 14-acre North Wynkoop mixed-use project in RiNo including the new 3,950-seat AEG Mission Ballroom music venue, Stanley Marketplace, and Hub 25, a recently completed 421,499-square-foot industrial park also in central Denver that was purchased by J.P. Morgan this past spring.
“We are looking forward to a successful development that will allow Denver companies to thrive and add value to our community,” added Matt Mitchell.
Marketed as “Denver’s Last Mile,” the Pecos Street property aligns with a national trend occurring in the retail and industrial sectors for distribution users to locate closer to their consumer populations.
“Last mile locations, which are those urban infill sites strategically located near the population core, are increasingly important as consumer demand and e-commerce growth alters the traditional supply chain. As more purchases move online and consumers continue to crave quick, convenient shipping and delivery, this will drive sustained high demand for centrally located industrial space,” added Jeremy Ballenger with CBRE.
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.