by Jennifer Hayes, Colorado Real Estate Journal
A private investor made a cash flow play with its $7.45 million purchase of the Colorado Marketplace.
The buyer purchased the Safeway shadow-anchored retail center at 3744-3788 and 3944-3980 E. 104th Ave. in Thornton from a Colorado-based private investor in a deal demonstrating the appeal of online-resistant retailers in transit-oriented locations.
“Investors today are attracted to retail opportunities like Colorado Marketplace that serve as community-based hubs for goods and services resilient to online retailing, like grocery, restaurant and automotive care. The shopping center’s proximity to the future light-rail extension was also a major draw as investors value the connectivity provided by mass transit,” said Matthew Henrichs of CBRE Capital Markets’ National Retail Partners in Denver. Henrichs, along with Brad Lyons, also of the firm’s National Retail Partners Group, represented the seller in the transaction.
“It was a cash-flow play for the buyer offering stability,” Henrichs added. “Eleven of the tenants at Colorado Marketplace are first-generation occupiers that have been in place for more than 15 years, which speaks to the strength of the location and its stability in offering cash flow to an investor.”
Constructed in 1998, Colorado Marketplace comprises 31,106 square feet in two retail buildings that flank a Safeway grocery store. The Safeway building is owned by Safeway/Albertsons and was not included in the acquisition.
At the time of sale, Colorado Marketplace was 97 percent leased to 17 tenants, including O’Reilly Auto Parts, Papa Murphy’s Pizza, H&R Block, Great Clips and Metro PCS.
Located at the intersection of 104th Avenue and Colorado Boulevard, Colorado Marketplace is adjacent to the Thornton Crossroads Station, which is expected to open in 2019. The station includes a 900-unit parking garage and an anticipated ridership of more than 1,100 commuters per day along the N Line.
Featured in CREJ’s July 4-17, 2018, issue