A downtown office building at the gateway to Union Station was recently purchased by American Realty Advisors of Glendale, California for an estimated $120 million, or $391/SF, according to industry insiders. Known as 1515 Wynkoop, the sale of the 8-story 307,000 SF building is considered to be one of the largest this year in the western U.S. and combines with the sale of the 1800 Larimer building to set a new benchmark in the central business district for high-end office space.
By comparison, the office building at 1675 Larimer Street in downtown Denver has been purchased for $17.5 million by Unico Properties LLC. Totaling 118,000 SF, the price/SF equals $148.
The Capital Center office complex sold for $24.2 million, or $155/SF, for the 156,000 SF property. Located at 225 East 16th and 1600 Sherman Street, the building includes a 12-story office tower, a 3-story building totaling 22,000 known as the Colorado Trust building, and a 234-space parking garage.
The downtown Denver area is to gain a full-service grocery store courtesy of The Nichols Partnership. To be located in the Union Station district, the 42,000 SF store will serve as anchor to the 20th and Chestnut development, which is to be in the block bordered by Wewatta, 19th, Chestnut Place and 20th. To front Chestnut Place, the development is to also provide 13,000 SF of retail topped by a 5-story apartment building totaling 307 units. Anticipated to open in 2013, a 12-story mixed-use tower fronting Wewatta Street is to be developed as phase two of the project.
Developers looking to build in the 26-block area known as Arapahoe Square will now be able to seek tax-increment financing. Denver City Council approved the Arapahoe Square Urban Redevelopment Plan, which allows properties to apply for tax increment financing on an individual basis. Located northeast of downtown Denver within 20th and 24th Avenues and Lawrence and California streets, the affected area totals 93 acres.
The redevelopment of the former Children's Hospital site into the new St. Joseph Hospital is anticipated to be an economic boon for the city. Set to break ground on June 26, the 3-year construction period is estimated to benefit the economy with 1,400 construction jobs annually and as much as $340 million in wages for the $623 million facility. Use-tax revenue will be over $13 million for the city of Denver and $8 million for the state. Upon completion, the new hospital will total 826,000 SF and offer 348 beds.
Recent data released by the city of Denver indicates that sales-tax revenue in the Cherry Creek North retail district increased in 2010 from 2009 by 16.0%.
D.H. Friedman Properties has announced plans for 4.15-acres of the former Marriott Hotel site at the northeast corner of I-25 and East Hampden Avenue. If approved, the company will develop the site this fall with as much as 20,000 SF of shopping space among 3 buildings, a restaurant with a rooftop patio, and a bank, and allow the remainder of the site to be occupied by other services. Completion of the project is anticipated next spring. An apartment project totaling 350 units is also anticipated on the north side of the site.
The town of Glendale is making efforts to create a Riverwalk development along Cherry Creek that would add 900,000 SF of development to the town. To include more than 400,000 SF of retail space, a 3,000 to 4,000 capacity amphitheater, two hotels, and a theater, the 42-acre site chosen for the development is located between South Colorado Boulevard, East Virginia Avenue, South Cherry Street and Cherry Creek Drive South. To be built on a man-made navigable channel to the north of the creek, the proposal would flank businesses on both of its sides and retain 20 acres for open space.
MDS Realty II LLC sold the Sports Authority and Petsmart building off Alameda Avenue in Glendale to Weingarten Realty Investors. Totaling 78,000 SF at 4300 East Alameda Avenue in Denver, the former Mervyn's property was exchanged for $24.5 million, or $314/SF.
RTD construction progress continues at Denver Union Station and the West Rail Line, as part of the FasTracks project to allow trains to utilize the new Station in the future. Light rail service from the Southwest and Southeast Lines will be interrupted at 10th/Osage from July 23-August 14 while track is relocated from just west of the historic Union Station building, to the new Light Rail platform 2� blocks west near the Consolidated Main Line. During the interruption, connecting bus shuttle service will run between 10th/Osage, INVESCO Field at Mile High, Pepsi Center/Elitch Gardens and Union Station. No service will be provided to the Auraria Campus Station during the interruption.
The 16th Street Mall Shuttle service will continue to provide service to and from the turn-around loop behind the historic Union Station building and will be extended to the new Light Rail platform from its current location at the end of the interruption. The new lines are scheduled to open on August 15. Service on the rest of the RTD light rail system will not be affected and construction continues of the new Union Station Regional Bus Facility and plaza between the historic building and the new Light Rail platform.
Denver City Council Member Jeanne Robb reports that Council formally endorsed by proclamation a Complete Streets policy by its Department of Public Works. The policy "supports visions and strategies to invest in a more sustainable, balanced and multimodal transportation system." It means that Public Works will incorporate safe and convenient access for all users into routine planning, design, implementation and operation of our streets and right-of-way.
A major part of Complete Streets is bicycle mobility. Improvements will include a new "Bicycle Friendly Community" and bicycle signage. Denver's first "cycle track;" a new bicycle facility that designates space for bicyclists off the street and adjacent to the sidewalk has just been completed on Bannock Street along Civic Center Park as part of the Better Denver Bond Program. Denver Moves; the city's bicycle action plan and the bicycling component of the Denver Strategic Transportation Plan (STP), set a vision for Denver's bike network and aligns with the Complete Streets policy. Based on those plans and policy, the city of Denver has added and will continue to add bicycle amenities and improved bicycle connections throughout the city.
Evans School on Acoma Street between West 11th and 12th Avenues is coming out of hibernation. The 46,000 SF former elementary school was built in 1904 and has been vacant for decades. Across Acoma Street from the Clyfford Still Museum under construction and the Denver Art Museum, the building has been substantially renovated as office space and is available for lease at $14/SF to $18/SF triple net.