INVERNESS EXCHANGE

PROJECT SUMMARY

DATE ACQUIRED

March 2018

LOCATION

Denver, CO

SIZE

215,268 SF

TENANTS

76

YEAR BUILT

1978-79

MARKET
DENVER

Metro Denver has a population of more than three million people, and has a growth rate that has consistently outpaced the national rate every decade since the 1930s. As a fast-growing region, Metro Denver is a dynamic location where companies can easily attract highly skilled workers and expand their operations. The region is one of the top in the country for in-migration of Millenials, which will make up the future workforce. Colorado ranks #1 in the country for labor supply (Forbes, 2016).


The third quarter of 2017 marked the Denver industrial market’s 23rd consecutive quarter of positive growth with net absorption of 1.7 million square feet, bringing year-to-date net absorption to 2.4 million square feet and dropping the overall vacancy rate from 5.2% to 4.4% from quarter to quarter. Industrial employment has recorded only positive year-over-year gains since 2011.

SOUTHEAST SUBMARKET

The largest submarket in the Denver metro area, the Southeast Submarket is located in both Arapahoe  and Douglas Counties, two of the state’s strongest performing regions. The submarket offers access to a highly educated, fit and motivated workforce and rivals Denver’s CBD as the region’s foremost  employment center. Transit oriented development has generated new vitality in the market as  connectivity increases to the rest of the metro area including Denver Union Station and the Denver  International Airport.

The  Southeast  Suburban  submarket’s  location  provides exceptional  access  to  an  educated   employment base  of executives, business  professionals, engineers, technical and  clerical   personnel;  a  key  reason  for the  solid  economic  base  of  the  area. The  combined Arapahoe  and  Douglas  County  area  boasts  a  robust and skilled labor pipeline with over 45.4% obtaining a bachelor’s degree or higher, which is significantly higher  than  the national  average  of  29.9%, as  well  as  the  Denver  metro area  average  of  40.8%. Young professionals are highly  educated, with over 260,000 individuals over 25 having completed at least four years  of  college, including  37%  of Science  &  Engineering  related  degrees  in  Metro  Denver. 91.9%  have achieved at least a high school diploma. The average household income for Arapahoe County is  $90,457; while Douglas County’s average income is $125,904. The southeast economy has become more  diversified, with knowledge-based industries like

software/IT, telecom, aerospace and bioscience having grown along with more traditional industries like financial services, engineering and healthcare. The unemployment rate is just above 3%.

 

The Southeast Submarket is made up of 10.1MM SF of industrial inventory, currently 95.6% occupied after absorbing 63K SF through Q3 2017, representing an annualized vacancy decrease of 0.83% for 2017.

LOCAL AREA 

The property is in close proximity to high quality retail and restaurant amenities. Park Meadows Mall, which is the newest and largest retail center in Denver. Located 5 minutes from the subject, it features 185 stores and restaurants, from the best in branded fashion to fine dining such as Fleming’s Steakhouse. It also sits right by Highlands Ranch, which features executive housing and boasts the two best school systems in Denver (Littleton and Cherry Creek).

 

The Denver Technological Center, located 5 miles north of the subject property, is an 850-acre business and economic trading center where cable companies such as United Cablevision, United Artists Cable, and AT&T Broadband had their start in Denver due to a conceptual Master Plan along a new fiber optic line in the early 1970s. The area’s progress was a major reason for Denver Regional Council of Government’s T-REX expansion into the Denver Tech Center, which built new light rail lines connecting the Denver Tech Center to downtown Denver. The area is also home to the largest concentration of corporate headquarters, including seven of the state’s ten Fortune 500 headquarters.

PROJECT PHOTOS

California // Colorado // Arizona // Washington // Nevada // Oregon

CONTACT US

Phone: 949.566.8800

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© 2013-2020 BKM Capital Partners. BKM Capital Partners is a registered trademark. All Rights Reserved.

BKM CAPITAL PARTNERS

 

Headquartered in Newport Beach, California, BKM Capital Partners is a real estate fund manager specializing in the acquisition and improvement of value-add multi-tenant industrial properties in metro areas across the Western U.S. Combining a deep knowledge of this niche industrial product type with in-house capabilities including on-site property management, asset management, and leasing to reposition and institutionalize light industrial assets, the firm continues to build on its proven track record, generating strong results with high levels of transparency and engagement for investors. 

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BKM MANAGEMENT COMPANY

 

BKM Management Company manages a portfolio of 8.6 million square feet of multi-tenant industrial properties for BKM Capital Partner’s private and institutional investors. With a focus on “boots on the ground” execution at the property level, BKM has in-house capabilities for both property management and leasing. The teams at the property level are focused on ensuring the tenants thrive and that the properties are managed in the most efficient way.

 

 

 

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