Invesco Grabs 558 KSF Denver Office Building
- Jul 14, 2014
Invesco Real Estate has snapped up Park Central, a 558,000-square-foot office property in Denver’s central business district, for a whopping $213 million. The global real estate investments manager acquired the premier asset from Walton Street Capital with the assistance of acquisition financing arranged by commercial real estate services firm Cushman & Wakefield.
New York Life Investment Management came through with a senior mortgage loan featuring floating and fixed-rate components for Invesco’s acquisition of the three-tower office building, a transaction touted in the industry as Denver’s largest office sale of the year at the time of the closing. Lenders couldn’t resist.
“For an institutional buyer/borrower like Invesco, who was seeking a low-leverage loan on a stable, high-quality office property like Park Central, the Capital Markets were very competitive,” Steve Kohn, President of Cushman & Wakefield Equity, Debt and Structured Finance, told Commercial Property Executive. “The significant improvement of the Denver market over the past few years has drawn core, institutional buyers and lenders.”
Carrying the address of 1515 Arapahoe St., Park Central sits at the gateway to the popular LoDo, or Lower Downtown, area, and is presently 98 percent leased to 11 tenants. Bridgepoint Education Inc. is one of the big names on the roster, having signed a lease in 2011 for 151,300 square feet.
Invesco’s purchase of Park Central comes seven years after Walton bought the property for $140 million, and it comes two years after Cushman & Wakefield last orchestrated financing for the property in the form of a $127.8 million floating rate facility through Aareal Capital Corp.