Local buyer pays $2.3 million for leasehold interest

3325 28th
The center at 3325 28th St. in Boulder is fully leased.

A leasehold interest in a Boulder retail center sold to a Boulder County investor for $2.3 million.

The lease comprises the land under a 19,997-square-foot retail center that is shadow anchored by Safeway. The property is located at 3325 28thSt., at the corner of 28thand Iris Avenue. Traffic counts at the intersection exceed 69,000 per day.

The center is 100 percent leased to Subway, 3 Margaritas, Papa John’s Pizza, Great Clips, Chase Bank, H&R Block and other tenants. All are on long-term leases, according to Rob Edwards, who handled the transaction with Tom Ethington, both of The Edwards/Ethington Team at Pinnacle Real Estate Advisors LLC.

“The A-class location is irreplaceable and has excellent demographics,” Edwards said.

Edwards wouldn’t disclose the names of the buyer and seller. He did say the listing drew strong interest from investors given the Boulder location and relatively low price point.

“A lot of people from across the country expressed interest in it but were discouraged when they found out it was not fee-simple,” he said. Edwards added that land lease deals are not uncommon; Cherry Creek Shopping Center, for instance, is on a land lease, he said.

Featured in CREJ’s July 18-31, 2018, issue

Jill Jamieson-Nichols has been an Editor with the Colorado Real Estate Journal for more than 15 years, providing coverage of office, industrial, hospitality and mixed-use development news in the Denver metro area, plus all property types in Northern Colorado, Boulder County and along the Highway 36 corridor. Prior to joining CREJ, Jill was Editor of Golden's community newspaper, The Golden Transcript. Jill earned a bachelor’s degree in mass communications from Colorado State University-Pueblo. When she's not keeping you up-to-date on the latest happenings in Colorado's commercial real estate market, Jill can be found cross-country skiing, exploring the outdoors with her dog, playing piano, reading, or hanging out with family and friends.