- February 15, 2017
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Land prices per square foot fell year over year. May be due to rising construction costs driving down land pricing to compensate.
75% of the area’s CRE buyers are private or owner users. REITs and Institutions buy the larger properties, but still only account for 25% of total sales volume as a buyer class.
All Property Types Weigh in to Start the Year Off
Investors and users alike were active in the tri-county region to start off 2017. User examples include 7-Eleven stores, which purchased locations where they were tenants. One was at Harmony and I-25 in Fort Collins ($3.2 million), and the other on 9th St. in Greeley ($2.5 million). Holland Tractor and Trucking purchased a 9000 SF warehouse sitting on 8 acres off Highway 85 in La Salle, for $1.8 million. The Bridgetown Events Center building in Lafayette was sold to the Develop Intelligence company expanding out of Boulder for $2 million, or $171 PSF.
Apartment buildings always feature in just about every month we chronicle the area. The Villa del Prado 82-unit complex in Boulder sold to a San Diego, CA investor for $24.2 million. In Fort Collins, two properties making up the Main Street Flats complex sold for $10.2 million to a Greeley buyer, ($152,000 per unit). A manufactured home senior co-op community, Sunset Mobile Homes, in Loveland sold for $14.5 million to a CA buyer. This amounted to $88,000 per unit.
A flex property in Longmont off Nelson road sold to an Alaska equity fund for $11.3 million for the 153,000 SF building. A multi-tenant office building on Pearl Parkway in Boulder sold for $12.1 million at a reported 6.5% cap rate, to a Boulder developer/investor. This 60,000 SF property sold for about $200 PSF.
The lease activity in January was mainly concentrated in mid-size industrial bay deals. Davey Tree leased 7,600 SF in northern Fort Collins, Apex Movement took down 7,600 SF in CTC in Louisville, Colorado Dairy leased 11,000 on Madison St. in Loveland, and two leases combined for 40,000 SF on Nautilus Ct. in the Gunbarrell district of Boulder.