Value-Add Office Building for Sale in Prominent Suburban Denver Location

Monday, April 2, 2018

Holliday Fenoglio Fowler, L.P. (HFF), on behalf of the owner, is offering the opportunity to acquire Cherry Creek Place III, a 107,364-square-foot office property ideally positioned at the best location within the Aurora submarket. This for sale office building presents a unique opportunity for investors to acquire a rare value-add office asset with tremendous lease-up potential in one of Denver’s fundamentally strongest submarkets.

Situated at the interchange of Interstate 225 and Parker Road at 3151 South Vaughn Way, Cherry Creek Place III sits at the crossroads of the Denver Tech Center (DTC), the high-growth residential areas of southeast suburban Denver, Denver International Airport (DIA) and the affluent Cherry Creek area. The six-story property has attributes found only at Denver’s premier locations, such as direct access to light rail, a full-service hotel adjacent to the property and vehicular access to both a major interstate highway and heavily trafficked arterial roads. This location allows an investor to meet a desired employee demographic for most employers while offering economical lease rates thus creating significant demand for office space in the area. 

Cherry Creek Place III sits within the Cherry Creek Place office complex that has benefited greatly from this demand, with the neighboring buildings attracting major anchor tenants such as ADT, TSYS, Verizon and Avitus. Additionally, the office property for sale exhibits fantastic fundamentals with highly-sought-after large blocks of available space, modernized elevators and tenants with a long operating history at the property. Cherry Creek Place III offers value-add investors the opportunity to take advantage of a property that has been leasing constrained but has had major upgrades completed that will reduce potential capital expense exposure as an investor executes their business plan at the property.

Value-Add Office Building for Sale Investment Highlights

  • Strong Building Fundamentals Include Large Floorplates and Capital Improvements:  Cherry Creek Place III is one of the most desirable assets in the Aurora market. Strategically positioned and located, with institutional quality ownership and maintenance, the property offers an abundance of opportunities to both tenants and owners alike. Large floorplates of approximately 18,000 square feet provide a competitive advantage in attracting large users to the property. Conversely, the floorplates are also flexible and have been demised into numerous configurations to accommodate smaller tenants. Additionally, significant capital has been invested at the property, including elevator modernization and a compressor replacement in 2017. The elevator improvements provide a welcoming environment when entering the property and enhance the tenant experience. These major capital improvements allow investors the opportunity to focus on leasing up the property to maximize returns.
  • Desirable and Prominent Location:  Cherry Creek Place III is prominently located at the interchange of Interstate 225 and Parker Road, two of the most convenient and utilized thoroughfares in the state. This provides excellent signage value and visibility for high-profile tenants as well as a distinct identity for the building with unmatched exposure to the approximately 243,000 vehicles that pass daily. Light rail access via a pedestrian path provides terrific connectivity for tenants to mass transit. Tenants at Cherry Creek Place III enjoy unobstructed views of the mountains and Downtown Denver.  The 4,250-acre Cherry Creek State Park, located adjacent to the property, provides 78 miles of serene of trails, fishing, horseback riding and many other activities synonymous with life in Colorado.
  • Development Pipeline:  Aurora and the surrounding area is currently undergoing a transformation, with significant development activity that continues to redefine the area. As the population and business presence in Aurora continues to grow year over year, developers have taken notice and are taking advantage. There are more than 270,000 square feet of retail and 5,810 apartment units either recently completed, under construction or planned in the surrounding area to Cherry Creek Place III. These new projects make the property even more attractive and convenient to users.

Cherry Creek Place III offers investors an opportunity to acquire one of the few true value-add deals in Denver with strong anchor tenancy and robust submarket fundamentals, all in one of the most accessible locations in Denver. For more information on this commercial property other office properties for sale, please contact Jules Sherwood or Nate Perry in HFF’s Denver office.  Click here for our real estate investment sales search page for a current listing of commercial properties available for sale. 

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