- January 11, 2017
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Monthly Sales Volume increased during latter part of 2016.
Leasing Activity cooled down during latter part of 2016.
NoCO Investors Wrap Up Their Holiday Real Estate Presents Before Year End
December closed out with a few larger commercial real estate investment deals with out-of-state buyers, but plenty of smaller investment deals traded to local buyers in the tri-county NoCO region.
Not surprisingly, the largest trade was an apartment complex. This time, the relatively new Aspen Heights complex in Fort Collins sold to a Columbus, OH buyer. The $65.5 mil transaction came out to just shy of $300,000 per unit for the 220-unit complex.
Other investors from out of state included an L.A. buyer purchasing the newly constructed Fresenius Medical Care (kidney clinic) in Fort Collins. It sold for $4.5 mil. or about $470 PSF just as construction was completed. The Hobby Lobby/Tractor Supply building in Greeley sold for $5.1 million to a Sherman Oaks CA buyer. This translated to a cap rate slightly above 9%, and a PSF price of $58.
In-state investors showed strong activity too. The newly constructed Mattress Firm in Loveland off highway 34 traded at a 6% cap to a Windsor CO buyer. The Spruce Street Mansion office building in Boulder’s downtown area traded for $5 mil. to a local buyer. Another office on Bluff St. in Boulder sold for $3.5 mil to a Denver buyer. That amounted to $467 PSF. It had sold for less than half the current sale amount in 2013.
A couple hotels and inns traded hands in December. The Niwot Inn and Spa in Niwot sold for $3.1 mil to a local buyer, at $206,000 per door.
America’s Best Value Inn in Evans sold to a local operator for $2.7 mil in Evans. That amounted to $52,000 per door.
Leasing activity was slow, except for two larger industrial flex deals. A tenant took 51,000 SF in the Boulder Lookout Business Center, and another tenant is taking 23,500 SF in Firestone in the Business Park subdivision.