Colorado-Real-Estate-Journal_429146

Page 14 - November 6-19, 2024 www.crej.com LLC acquired a 5.12-acre heavy industrial land site at 10150 E. Highway 2 in Commerce City for $3.25 million in September. Sonenreich represented the sell- er, CNG Land LLC, while the buyer was represented by out- of-state broker Spencer Mikles. “Heavy industrial ground is like gold to buyers and users, and the city doesn't have a lot of that type of industrial ground, so there's a really high demand for it,” Sonenreich said. “The city essentially wants less and less heavy industrial zoning because it's not as ‘sexy’ as a brand-new development. But the reality is, the world we live in needs that type of zoning.” Denver Restaurant Equipment Corp. leased a 21,070-square-foot building at 1051 S. Platte River Drive from landlord Dean/Carson South Platte LLC. Sonenreich repre- sented the landlord, while Hec- tor Flores of Megastar Realty represented the tenant. The tenant opened its new space in August. The property features a 650-sf office area, 200 amps and 240 volts of 3-phase power, 16-foot clear height, two drive-in doors, one dock-high door, and a fenced outdoor storage area. The 1-acre lot includes 16 park- ing spaces. MDM Investment Holdings LLC purchased a 10,335-sf indus- trial building at 7175 W. 16th Ave. in Lakewood for $1.69 mil- lion in September. Sonenreich represented the seller, 7175 W. 16th LLC. The buyer, a medical supply company, was represent- ed by Mark Goodman o f Good- man Commercial Real Estate Inc. Built in 1961, the property was 75% leased at the time of sale. Sonenreich noted that dock- high buildings like this are rare in Lakewood. The building is located in Lakewood’s 40 West Arts District. n DENVER – Bartell & Co. Real Estate Wealth Manage- ment facilitated two sales of marijuana grow and distribution buildings in south Denver. S&M LLC sold a 44,239-sf warehouse at 1410 S. Santa Fe Drive to 1410 Vera Santa Fe LLC for $6.63 million in Septem- ber. The building was fully occu- pied at the time of sale by Elite Cannabis, according to previous reporting. Dan Bartell of Bar- tell & Co. represented the seller, while Taylor Roy of Malman Commercial Real Estate repre- sented the buyer. Bartell also represented the seller in the $900,000 sale of 1397 S. Cherokee St. in August. Greg Knott of Unique Properties Inc./TCN Worldwide represent- ed the buyer. MG Cherokee LLC acquired the 7,104-sf warehouse from Beau LLC. The property is fully occupied by an undisclosed marijuana business. n BOULDER – A science and technology innovation company expanded its presence in Flatiron Park North in September. SciTec Inc. expanded its space at 2560 55th St. by 31,395 sf, bringing its total occupancy in the park to 83,026 sf. The com- pany required additional space to accommodate its ongoing suc- cess and operation growth. “We are thrilled to be expand- ing our partnership with Cres- cent in Flatiron Park North,” said David Simenc, SciTec vice president, defense. “SciTec is proud to do business in Boulder, and this expansion lets us bring over a hundred jobs, tapping into the incredible talent in our local community.” The tenant was represented by Angela Topel and Michael Ryan McCarty of Gibbons White, while landlord Crescent Real Estate LLC was represented by Beau Gamble, Kevin Nelson and Becky Gamble of Dean Callan & Co. “SciTec is doing exciting defense work, and we are glad to partner with them on their expansion needs within Flatiron Park North and have them in two of our buildings for the long term,” said Crescent Vice Presi- dent Mike Bannon. Flatiron Park North consists of four buildings totaling 168,000 sf. The park is part of a 16-building portfolio that Crescent acquired in December 2023. Through its GP Invitation Funds, Crescent Real Estate has been a major commercial real estate owner in the Boulder mar- ket in the past decade, having owned 22 buildings in Flatiron Park until its disposition in 2022. The company acquires, develops and operates all real estate assets classes alongside institutional investors and high-net-worth individuals. The firm has more than $10 billion of assets under management, development and investment. n COMMERCE CITY – A 12,630-sf industrial/office build- ing southwest of the East 88th Avenue-state Highway 2 inter- section sold for $3.9 million. SPQR Verbena acquired the building at 8600 Verbena St. from James and Kathleen Parent in October. Steve Sere- nyi of Col- liers Denver brokered the transaction. Built in 2008, the 2.6- acre property includes 6,400 sf of warehouse space and 6,230 sf of office space. The sellers decided to sell because the previous tenant went bankrupt, a statement from Colliers said. The buyer will operate its busi- ness, Belair Excavating, from the property. The buyer was inter- ested in owning the property as opposed to leasing a space. The property worked well for the buyer because of its large, fenced yard; large drive-in doors and service bays in the warehouse side of the building; and abun- dant office space, Serenyi said. n GOLDEN – An industrial building in north Golden was leased by a new tenant. Classic Trailer Sales leased the 11,500-sf building at 4370 Kend- rick St. for five years from land- lord 15000 W. Kendrick LLC. Tanner Digby of Digby Com- mercial Real Estate bro- kered the lease on behalf of both parties. The prop- erty includes a 1.4-acre fenced yard, which attracted the tenant to the property. The larger yard will allow the tenant’s existing trailer company to accommodate the demand for its growing trailer sales company. s Denver Continued from Page 13 PROFILE Central Development’s Encompass Business Park Has Grown into Centennial’s Newest Industrial District Central Development is thrilled to announce the groundbreaking at Encom- pass 53, the fifth of six build- ings planned at Encom- pass Business Park (http:// encompasspark.com/) in Centennial. The 4.04-acre, 53,200-square-foot industrial build-to-suit warehouse is being constructed by award- winning general contrac- tor Alcorn Construction and marketed by Colliers Inter- national brokers T.J. Smith, Cody Sheesley and Nick Rice. Encompass Business Park’s organic growth since 2016 has resulted in a thriving new industrial district right sized to fit the needs of its South- east Denver metro market. “Encompass 53 is posi- tioned in Southeast Denver’s most prominent industrial park right off of Arapahoe Road. The southeast is one of only two markets in Denver to have experienced positive net absorption in each quar- ter for the past three years. As such, the 53,000-square-foot freestanding facility is poised to benefit from a growing market in an amenity-rich location,” explains Nick Rice. “Few freestanding buildings of its caliber are available in the market, and Colliers anticipates this rare opportu- nity to draw significant inter- est. The asset can be leased or purchased. We look forward to its delivery in Q2 of 2025.” Indeed, Encompass 53 is designed to solve a void in the small-bay industrial sec- tor. While most developers focus on constructing larger buildings, Encompass 53 is divisible to 10,000 sf and fea- tures a 24-foot clear height, four drive-ins, and 18 dock- highs. The building’s size and features cater either to a standalone user sale or to leasing to multiple smaller tenants – exactly the types of tenants involved in the majority of deals in the local market. The new industrial build- ing is also versatile in other important ways. Frontage on Potomac provides increased visibility and thus greater flexibility for tenant type. Outside storage is a permit- ted use, and users have the capability to grow within the park’s multiple buildings. Perhaps best of all, Encom- pass 53 boasts an incredible last-mile location less than a mile to Centennial Airport, close to Arapahoe Boule- vard’s amenities, and with easy access to I-25, E-470 and Parker Road. The location is a clear differentiator for busi- nesses seeking to attract and retain top talent in the Den- ver Metro’s highly competi- tive employment market. Despite recent year’s eco- nomic turmoil, Encompass Business Park has achieved remarkable success. Central Development purchased the 62-acre site in 2016, envision- ing a mixed-use infill indus- trial park serving a wide range of users. They knew the park’s flexible zoning and optimal location would help them attract a strong tenant pipeline. Indeed, the park’s high-quality tilt-up con- crete buildings have already amassed an impressive ten- ant roster: ● Encompass 150 – Com - pleted in 2018. Space former- ly leased by Amazon newly leased to American Power. Existing leases with Room & Board, Brakes Plus, and Xylem/Evoqua Water. ● Encompass 50 – Complet - ed in 2018. Leased and ulti- mately purchased by national defense contractor Rincon Research. ● Encompass 106 – Com - pleted in 2020. Leased to Mygrant Glass and Winn- Marion prior to completion. ● Encompass 173 – Com - pleted in 2023. Leased to Digicomm International. ● Encompass 53 – Under construction. ● Encompass 123 – Still to come. “Encompass Business Park is like a diesel engine that just keeps on going. We’ve enjoyed eight years of solid, organic development. Plus, our competitor business parks are much further away from amenities like those we have on Arapahoe Road,” says Central Development principal Jeremy Records. “Industrial continues to be the right place to invest. After all, you can’t do industrial by working from home.” s Steve Serenyi Tanner Digby