Listings for Sale Starting to Rebound
Price Per Square Foot and Overall CRE Sales Volumes Increase Steadily
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2032 Lowe St. Suite 101
Fort Collins, CO 80525
414 14th St. Suite 100
Denver, CO 80202
The Boulders apartment complex on 28th St and Kalmia in Boulder, sold and provided it’s 5 year owners an $18 million profit. The 161 units sold from Lowe Enterprises from Los Angeles to Heitman out of Chicago for $62.5 million or $388,000 per unit approx. Rents reportedly average just over $2.00 PSF at the complex.
Bill Reynolds continued his buying spree in downtown Boulder by picking up a 12,300 SF retail building at 13th and Pearl for $6.4 million. The $522 price PSF property sale The Lazy Dog restaurant occupied the property but announced a closing on Oct. 6th. This is the second Pearl St. corner property acquired by Reynolds in the last two months. Gastroenterology of Boulder bought an 80% interest in their four commercial condominiums used for medical practice in Boulder and Lafayette. They paid $4.36 million, and Clovis Park Holdings out of Superior CO maintained a 20% share after the sale.
The 24 unit Arbor Ridge apartments in Greeley sold for $125,000 per unit, or a third of the price of the Boulders mentioned above. Local owner operators Ancon Construction sold the property to a local Greeley individual investor for $3 million.
How about a price of $963 PSF? Well, a private Denver investor bought the ground lease for the Starbucks and Chick-Fil-A restaurants in Loveland from McWhinney Companies for $2.6 million. Equivalent price per building square foot was $963. These type of investments require only passive investor involvement, and go for high prices partly due to the “coupon clipper” quality of the lease. The same investor paid $767 PSF for the Good Times/Taco Johns ground lease next door. This sale was for $2 million.
Contrasted with the national tenancy in a shopping center location of the deals above, the Garden Center multi-user retail/office building in Loveland sold for $1.4 million, or $261 PSF. A physical therapy business and an insurance business were tenants in the 5364 SF building. In a down-to-earth pricing deal, the former Rexel supply building on 2nd Ave. in Greeley sold for $117 PSF, and $1.2 million to a local 1031 exchange buyer. the Buyer believes the property has significant upside as an industrial/ show-room property, with some outside storage room, inside the city limits.
Finally for the month, a church bought the Goddard pre-school on Village Vista in Erie for $1.1 million, or $145 PSF. Seller was a private owner from Boulder.