Page 18 —
COLORADO REAL ESTATE JOURNAL
— November 19-December 2, 2014
Colorado Springs/So. Front Range
by Jennifer Hayes
A sought-after retail center in
Colorado Springs sold for $310
per square foot to a buyer mak-
ing its second acquisition in the
city.
The California-based buyer
paid $4.63 million for Northgate
Plaza Shopping Center, a five-
tenant, 14,936-sf inline center that
is part of a larger retail develop-
ment with several additional pad
sites as well as a grocery store
that is expected to open in 2015.
“We received strong interest
in this asset from the beginning,
including two offers at our full
asking price, which demonstrates
the demand
for
newer
retail proper-
ties in Colo-
rado,” said
Troy Meyer
of
Sperry
Van
Ness.
“Nor thga t e
Plaza Shop-
ping Center
is a good rep-
resentation of where the Colo-
rado Springs market is and the
increased national demand for
retail in communities like Colo-
rado Springs.
“The buyer used this purchase
as part of his down leg in a 1031
exchange and was attracted to
the property because of the loca-
tion, strong tenancy and stable
future cash flows,” added Meyer,
who represented seller Northgate
Properties LLC out of Colorado
Springs with Dean Corey and
Kevin Matthews, also of Sperry
Van Ness.
Constructed in 2008, Northgate
Plaza Shopping Center was 100
percent leased to five tenants,
El Padrino Mexican Restaurant,
Thuy’s Nails & Spa, Integrity
Urgent Care, The Studio for
Exceptional Dentistry and Pizza
Hut. The lack of a national credit
tenant at the center, however,
didn’t faze interested buyers,
commented Meyer, noting the
center at 13425-13461 Voyager
Parkway is well located in an
affluent area of the city and all
of the tenants are on long-term
leases.
Other News
n
The Colorado Springs apart-
ment market is on a record-set-
ting pace, according to
Common-
wealth’s
third-quarter multifam-
ily sales report.
The report noted that year
to date, total sales volume was
$367.42 million – well above
2013’s total sales volume of
$166.69 million and 2012’s
$177.84 million.
A total of 4,449 units were sold
through the third quarter of 2014,
compared with the 2,425 units
closed for the entire year of 2013.
There were 28 sales through Sep-
tember of this year, compared
with 20 for all of 2013.
The report noted that for the
first time in a number of years,
ClassAsales within the Colorado
Springs market were tops both in
terms of sales volume and num-
ber of units, there were five sales
totaling 1,394 units with a sales
volume of $184.8 million.
Commonwealth also noted
that five Class B sales totaled
$80.15 million while four Class
C communities traded with a
sales volume of $46.78 million.
Additionally, Class D complexes,
as defined by Commonweath,
continue to be popular with buy-
ers recognizing the opportunity
to buy this product class, rehab
properties to modern conditions
and enjoy a nice cash flow or
profit if selling after the remodel
and lease-up.
According to the report, the
increases in demand and prices
are a result of a multitude of fac-
tors, including the lowest vacan-
cies in more than a decade and
demand catching up with supply
in the Springs market.
n
ValueOptions Inc.
recent-
ly signed a more-than-20,000-
square-foot office lease in north-
ern Colorado Springs.
The lease represents another
national user growing opera-
tions into the tightening market
of Interquest, according to
Peter
Scoville
of
Colorado Springs
Commercial, a Cushman &
Wakefield Alliance,
who repre-
sented the landlord with COSC’s
Greg Phaneuf.
ValueOptions, the nation's
largest independent behavioral
health care and wellness compa-
ny, leased the space at Patriot at
Interquest I, 9925 Federal Drive,
from
CV Patriot Springs LLC.
n
Whole Hemp Co.,
an indus-
trial/manufacturing group, re-
cently inked a 10,500-sf lease at
828 Wooten Road in Colorado
Springs.
Whole Hemp leased the indus-
trial space from landlord
Tala-
mine Investments LLC.
Bill Reilly
of
Sperry Van Ness/
The Group Commercial
repre-
sented the tenant.
John Rodgers
of
Peak Com-
mercial Properties
represented
the landlord.
n
Olson Motor and Control
renewed its lease of 9,600 sf of
industrial space at Aerotech
Industrial in Colorado Springs.
It occupies space at the build-
ing at 1902 Aerotech Drive.
Aaron Horn
of
Colorado
Springs Commercial, a Cush-
man & Wakefield Alliance,
represented landlord
Aerotech
Industrial Partners.
Greg Kaufman
and
Mike
Helwege,
also of COSC, handled
both sides of a new retail lease at
Centennial Commons in Colo-
rado Springs.
Helwege represented
Chef’s
Catalog
in its lease of 5,264 sf of
space at 4697 Centennial Blvd.
Kaufman represented the land-
lord,
Centennial Colorado Part-
ners LP.
s
Northgate Plaza Shopping Center sold to a California buyer for $310 per square foot.
Troy Meyer
