Confluent Development and CBRE announced today the completed $15.725 million sale of Confluent Center 70, the 105,670-square-foot industrial development located at 15100 East 40th Avenue in Aurora, Colo. Denver-based real estate investment and development firm Confluent Development served as the property's developer and owner, and CBRE's Jeremy Ballenger and Tyler Carner represented Confluent Development in marketing the building. LBA Realty of Irvine, Calif., purchased the property in a sale that closed June 1, 2018.
"Across Denver we are seeing a flight to quality with both industrial tenants and investors seeking out properties like Confluent Center 70 that offer modern features in conjunction with a strategic location. Confluent Development went above and beyond with this project, creating a property that offers Class A amenities alongside unmatched visibility and freeway access," said Jeremy Ballenger, Senior Vice President, CBRE.
Completed in November 2016, Confluent Center 70 is located at the northwest corner of Interstate 70 and Chambers Road in the Airport submarket, Denver's largest industrial corridor. The building includes 30-foot clear heights, ESFR sprinklers, 52-foot by 52-foot column spacing, a 60-foot speed bay, trailer parking, south-facing truck courts and excellent signage visible to I-70. The property offers a competitive mill levy, which is increasingly important to tenants as Denver industrial lease rates climb upward-reaching the highest average asking rate on record in metro Denver in the first quarter of this year ($7.96 per sq. ft.), according to CBRE's research.
CBRE's Carner and Ballenger initially sold the 8.1-acre property to Confluent Development, when it was the site of a hotel. Confluent, which develops office, industrial, retail, senior living and mixed-use properties across the United States, recognized the opportunity for a speculative industrial development located in the heart of Denver's distribution market. Confluent plans to also develop a second, 25,440-square-foot Class A industrial building on the site.
"This most recent sale of our industrial assets speaks to the high quality for which we continually strive," said Marshall Burton, president and CEO of Confluent Development. "We credit much of the success to our team's ability to deliver industrial properties that meet core objectives to enhance businesses' long-term bottom line. It is rewarding to see our efforts on the project come to fruition."
Confluent Center 70 is fully occupied by three tenants: Reinforced Earth, UNITS Moving and Portable Storage, and Redi Carpet. CBRE's Kyle McClure marketed the property for lease alongside Carner and Ballenger.
The buyer, LBA Realty, is a full service real estate investment and management company with a diverse portfolio of office and industrial properties in major markets across the Western United States. The company's industrial portfolio totals over 26 million square feet, including four other Denver-area properties.