Miller Global Buys One DTC

GREENWOOD VILLAGE, CO-Although the sale price isn’t being disclosed, industry observers believe that locally based Miller Global Properties paid about $40 million for the class A One DTC building at 5251 DTC Parkway in the Denver Tech Center. That would equate to a little more than $170 per sf for the 15-story, 226,609-sf building. But given the quality of the building, it likely would cost $250 or more per sf to replace it, Mike Winn, an investment broker with Cushman & Wakefield, tells GlobeSt.com. That would equate to a value of about $56.625 million.

Denver-based Corum Real Estate Group constructed the building in 1984. It was at a time when lavish buildings were being constructed in anticipation that oil exceeding $65 a barrel, the levels it is now only starting to approach. Instead, oil fell below $10 a barrel at its low, leaving behind not only millions of square feet of empty buildings, but a philosophy to build nice, efficient buildings in the future and not ones clad in granite and other luxurious finishes, such as found at One DTC.

“We may never see another building of this quality built again in Denver during our lifetime,” says Winn, who represented the seller, New York City-based C.V. Starr & Co. with fellow Cushman & Wakefield broker Tim Richey. C.V. Starr is the private investment vehicle for top executives in the company. Starr owned about five buildings in the metro area, but Miller Global only wanted One DTC, the crown jewel of its local holdings.