CentrePoint purchases 2 industrial parks

CentrePoint purchases 2 industrial parks

by Avalon Jacka

LONGMONT – A Denver based commercial real estate firm acquired two industrial parks near the Front Range Community College Boulder County Campus for a total of $16.65 million.

CentrePoint Properties purchased the properties at 1501-1551 S. Sunset St. and 2120-2150 Miller Drive from Berkeley Partners. The parks total approximately 98,600 square feet across four buildings constructed in the 1980s.

The properties offer smallbay industrial space for tenants that need between 3,500 sf and 27,000 sf. The parks were 93% leased to nine diverse tenants at the time of sale, with the largest being Scythe Robotics Continental Control Systems and General Atomics.

Jeremy Ballenger, Tyler Carner, Jessica Ostermick and Jim Bolt of CBRE represented the seller in the sale, while CentrePoint Properties was unrepresented. 

Boulder and its surrounding submarkets have a highly educated and skilled workforce, amplifying the area’s desirability for growing companies, Ostermick noted.

“Small-bay industrial space is seeing strong tenant demand in today’s market,” Ostermick said. “Properties in the Longmont area are especially unique due to their flexibility in space configuration, ample car parking, hefty power and HVAC systems, and ability to offer distribution options between drive-in and dockhigh. These features allow for a wider variety of uses and appeal to a large assortment of tenants, including technology, manufacturing and life sciences companies.”

Small-bay properties had the lowest vacancy rates at 2.5% and accounted for 80% of all leases signed in the Denver metro area in 2022, Ostermick added. Overall sales volume for the Denver metro industrial market nearly tripled to $280.8 million as of third quarter 2023, up from $98 million the previous quarter, according to CBRE research. In the third quarter, 25 industrial properties traded hands in the Denver metro area market.

CentrePoint Properties’ portfolio includes an additional 12 properties in the Denver metro area. The diverse portfolio includes office, multifamily and retail assets. The Longmont purchase marks the company’s first foray into the industrial asset class.

View On Colorado Real Estate Journal here.