Granite Properties enlarged its Denver portfolio with the $71.25 million acquisition of Regency Plaza, an iconic office tower in the Denver Tech Center.
Granite plans significant improvements to the 319,000-square-foot building, including an expanded fitness facility, renovated café, and upgrades to the lobby, elevator cabs, conference room, outdoor plaza and common area corridors.
“Regency Plaza is a trophy asset with an incredible presence in the Denver Tech Center. We look forward to repositioning Regency Plaza through a significant improvement plan designed to meet the needs of today’s workforce,” said Stephanie Lawrence, Granite Properties senior managing director.
Lawrence said acquisition of Regency Plaza, located at 4643 S. Ulster St., was a good fit for Granite because the company is confident it can enhance the customer experience, and it is quite familiar with the southeast suburban submarket.
“We know that submarket very well because we own three buildings in the southeast market,” she said, adding Granite Properties “completely transformed” another southeast asset, Plaza Tower One, and plans a similar approach with Regency Plaza.
“We’re going to work to deliver the same customer experience we did at Plaza Tower One by making sure that the customer experience matches the iconic status of that building,” she said.
In addition to capital improvements, that includes offering tenants opportunities to connect through on-site wellness programs and biannual events combining food and fun with giving back to the community. “It’s one of the things that we think makes us unique,” Lawrence commented.
Distinguished by a glass curtain wall that offers views of the mountains, downtown Denver and Cherry Creek Reservoir, Regency Plaza is a 15-story building that was 93% leased at the time of sale. It has structured parking and quick access to Interstates 25 and 225, and also is within walking distance of restaurants, hotels and other amenities.
The building is LEED Gold certified and Energy Star rated.
Barings, one of the world’s largest diversified real estate investment managers, sold the property on behalf of institutional investors. Tim Richey, Mike Winn, Jenny Knowlton, Charley Will and Chad Flynn of CBRE represented the seller. Lawrence, along with Paul Bennett and Patrick Miller of Granite Properties, represented Granite in the transaction. Bob Whittelsey and Abby Patillo of Colliers International will lead leasing efforts.
DLR Group’s Jessie Johnson heads the design team for the planned renovations.
With the acquisition of Regency Plaza, Granite’s Denver portfolio includes approximately 1.3 million sf of Class A office buildings. The commercial real estate investment, development and management company also owns Plaza Tower One, Prentice Plaza and High Pointe Tower, all located in the southeast suburban market, and 143 Union in Lakewood.
“We’re very happy with our portfolio to date, and we’re continuing to look for acquisition and development opportunities,” Lawrence said.
Updated Sept. 28, 2019