Aliso Viejo-based commercial developer Shea Properties Inc. is under contract to sell part of a big office project in Colorado to another locally based investor, KBS Realty Advisors.
An affiliate of Newport Beach-based KBS said this month that it entered into a purchase agreement to buy an office at Shea’s Village Center Station development, which is in the Denver suburb of Greenwood Village.
The office, which is one of the company’s largest office projects in Colorado, is about 235,000 square feet and sits on 3.2 acres.
A nontraded real estate investment trust run by KBS said in regulatory filings this month that it will pay $76.7 million, plus closing costs, for the building, or about $326 per square foot.
It’s the first of three phases of planned office and retail development at Village Center Station. The entire project, once called the Denver Tech Center, will total more than 600,000 square feet of office space and 60,000 square feet of retail at buildout, according to Shea marketing materials.
The building KBS is buying features a six-level office tower and a three-level structure that includes restaurant and retail space.
Last year Shea announced it landed CoBank, the largest bank headquartered in Colorado, to lease nearly all of an 11-story tower that will be built in the second phase of Village Center’s development. Shea bought what was then called the Denver Tech Center in 2006.
The building that the KBS affiliate is buying opened in 2009 and is now nearly fully leased.
Shea Properties also owns two other office projects in Greenwood Village and four projects in Highland Ranch, another Denver suburb.
KBS didn’t disclose a time frame for completion of the sale.
New Focus
JH Real Estate Partners Inc. in Newport Beach has snapped up a shopping center just over the L.A. County line in Hawaiian Gardens.
The real estate investor paid $33 million for Hawaiian Gardens Town Center, a 124,645-square-foot, grocery-anchored center about half a mile east of the 605 Freeway on Carson Boulevard.
The property was sold by an affiliate of La Jolla-based HP Investors LLC for about $265 per square foot.
CJ Osbrink, Ryan Gallagher, and Bryan Ley, brokers with the Irvine office of Holliday Fenoglio Fowler LP, marketed the property for the seller.
The five-building center is 95% leased and is anchored by a Walmart Neighborhood Market.
The deal is JH Real Estate’s largest reported acquisition since it paid $35 million for a San Diego retail center about a year ago.
Last year the company announced a switch in strategy, turning its attention to retail purchases rather than apartment deals, which had historically been its largest investment category.
In January it sold 14 apartment complexes in Los Angeles and San Diego counties and the Inland Empire for a combined $482 million. The rental properties, which totaled 2,669 units, were bought by a venture led by Los Angeles-based TruAmerica Multifamily.
Dayton Deal
Irvine-based Shopoff Realty Investments has turned to the birthplace of aviation for its latest office acquisition.
The local investor recently closed on the purchase of Apple Valley Office Center, a three-building complex in the Dayton, Ohio, suburb of Beavercreek.
The 130,000-square-foot campus sold for about $7.2 million, or $55 per square foot, according to local news reports.
