Denver Office Building Trades for $37M

Amstar purchased a seven-story, 131,000-square-foot property in the Cherry Creek submarket of Denver. The company is planning to invest nearly $2 million in various upgrades.

The Citadel in Denver
The Citadel in Denver

Amstar acquired The Citadel in the Cherry Creek submarket of Denver from KBS Realty Advisors. The 131,000-square-foot office building changed hands for $37 million, according to public records. Amstar is set to invest approximately $2 million in interior/exterior upgrades. CBRE’s Mike Winn, Tim Richey and Chad Flynn represented the seller. Brady O’Donnell, Jeff Halsey and Jill Haug of CBRE Capital Markets were in charge of arranging the financing.

Well-Positioned Property

Located at 3200 E. Cherry Creek South Drive, the seven-story building offers convenient access to various hotels, shopping and dining options, including Hilton Garden Inn Denver Cherry Creek and Cherry Creek Shopping Center. The asset offers more than 350 subterranean parking spaces.

According to Yardi Matrix, KBS Realty Advisors acquired the property in 2008 from Crescent Real Estate Holdings for $31.8 million. The Citadel is home to such companies as Wells Fargo Advisors, Benson Orthodontics and New York Life Insurance. At the time of sale, the asset had a vacancy rate of 15 percent.

“The strong bid support seen for this property is a testament to the desirability of the Cherry Creek micro market,” Tim Richey, vice chairman at CBRE, said in a prepared statement.

Earlier this year, a partnership between KBS Realty Advisors and CBRE Global Investors sold BB&T Tower, a 541,870-square-foot Atlanta office tower.

Image courtesy of Amstar