The Arrow Electronics World Headquarters building in Centennial changed hands for $40.1 million, or $312.06 per square foot, according to Arapahoe County records.
The buyer is a Florida-based asset management company, Kawa Capital Management.
“Kawa is excited to announce the acquisition of the Arrow property,” said Dan Amer, director of investments at Kawa Capital Management.
“The investment was completed through a fund that targets triple-net assets leased to investment-grade-caliber tenants with long-term leases. The investment is well-aligned to offer our clients long-term growth and capital preservation, with strong cash-on-cash yields.”
The 128,500-square-foot building is located at 9201 E. Dry Creek Road. Arrow Electronics Inc., a Fortune 500 company with more than 20,000 employees around the world, has several years remaining on its lease.
The building was constructed in 2001 and is about a half mile from the Dry Creek lightrail station. It features modern finishes, large floor plates and more than four parking spaces per 1,000 sf.
The CBRE team of Mike Winn, Tim Richey, Charley Will, Chad Flynn and Jenny Knowlton handled the transaction.
An affiliate of Lexington Realty Trust bought the Arrow Electronics building in 2004 for $24.88 million, according to assessor’s records. Arrow Electronics signed a long-term lease for the entire building in 2014.
Last fall, Lexington, Lepercq Corporate Income Fund LP and an affiliate of Davidson Kemper Capital Management LP formed a joint venture that acquired the Arrow building and 20 other U.S. office assets for $726 million, according to a Securities and Exchange Commission filing. In addition to the Arrow Electronics building, two other Colorado headquarters buildings were included in that deal: The TriZetto Corp. building at 9655 Maroon Circle in Englewood and the Global Healthcare Exchange Inc. building in Louisville. Both recently were being marketed for sale.
