Institutional Buyers Finish up 2019 Strong in NoCO CRE Sales

Not surprisingly, December was a month of larger institutional grade sales as investment managers finalized their 2019 asset management plans. The largest sale, also not surprising, was a multi-family complex. Country Club Gardens in Greeley sold for $52.8 million. The complex has 288 units, so the per unit price was about $187,000.00 each. Inland Capital sold the property to Peak Capital out of Provo, Utah. Inland’s press release said they had completed a “full cycle transaction”, and they had held the property for four years and brought their investors a 155% total return over that time frame. Clarion Partners out of New York purchased the 59 unit apartment building at 2121 Canyon in Boulder for $17.2 million from local developer Element Properties. Boulder being Boulder from a price perspective, this calculates to about $291,000.00 per unit. Another Boulder multi-family property, Goss 22, sold for $6.8 million, or $271,000.00 per unit. In this case, the Buyer was from Colorado for the 25 unit building. Bryman Manufactured Home Park in Loveland sold at a reported 4% cap rate for $12 million to Prudential Financial out of Newark, New Jersey. This facility had 108 units and sold for about $111,000 per unit. STAG Industrial out of Boston, MA purchased a distribution warehouse in Johnstown for almost $16 million. This 131,000 SF warehouse sold at $122 PSF. Sellers were out of Minneapolis, MN. US Autoforce is the tenant in the newly built property. Carlson Land Development sold a 585 acre residential land parcel to Front Range Development in Denver. High Point in Mead, CO sold for about $14 million, or 32 cents per square foot, as undeveloped raw land. On the other end of the land pricing spectrum, the Boulder City Housing Division sold a redevelopment parcel on 30th and Pearl street for $5.5 million for the 5.63 acres. This works out to almost $22 per square foot for dirt value. The project anticipated will need to incorporate affordable housing components. The Buyer (Morgan Creek Ventures) in this case already has a presence in the Boulder market and is adding to their portfolio of projects. The largest retail deal was a $4.66 million sale of a Bonefish Grill restaurant in Johnstown. A Loveland, CO entity bought the property. Price per square foot worked out to about $821. In all, almost 150 properties traded, or went under contract, during the month of December. 2019 went out with a bang!