Patriot Park VI office sells for $24.25 million

A Virginia-based private investment group made its first Colorado acquisition with its record-setting purchase of Patriot Park VI.

The 103,970-square-foot office building at 655 Space Center Drive in Colorado Springs sold for $24.25 million, according to public records – setting what is believed to be a high-water mark for an office building in the Springs’ market in the last decade.

“The sale of, as well as the recent long-term lease signed at, Patriot Park VI shows the continued, significant investment interest in Colorado Springs , ” said Aaron D. Johnson of Cushman & Wakefield, who represented the seller, Crescent Real Estate LLC, with Cushman’s Jon D. Hendrickson.

“The education of investors on the Colorado Springs market has taken time,” explained Johnson. “Colorado Springs has unique demographics and drivers, and the growth story there is outpacing Denver. It’s a very attractive option to investors, who today are looking for durable cash flow and strong tenancy.”

The three-story building, constructed in 2008 by Corporate Office Properties Trust, also benefits from being one of the top office buildings in the market, he added.

“It is one of the nicest Class A office properties in the southeast airport market.”

Patriot Park VI recently underwent an interior renovation as well as the addition of sensitive compartmented information facility space. Lockheed Martin took occupancy at the building earlier this year.

The building also has close proximity to Peterson Air Force Base as well as “phenomenal” highway identity off Highway 24 and North Powers Boulevard.

Patriot Park VI was part of a 13-building Colorado Springs office portfolio purchased by Crescent for $125.25 million in late 2018.

Featured in the November 4-17, 2020, issue of CREJ