The deal closed as the tech center's corporate parent, London-based Peninsular & Oriental Steam Navigation is in play. DP World, the port company owned by Dubai, recently offered $9.87 billion for P&O. PSA International, Singapore's largest port company that is owned by Temasek, the Singapore's government's investment company, also has been bidding for P&O.
DTC's assets include land within the tech center as well as the Meridian International Business Center and 800-acre Meridian Village master-planned community in Douglas County. The tech center's land lies in both Denver and Greenwood Village.
Parts of Meridian International Business Center and the entire Meridian Village are owned in partnership with the Bradbury family, which isn't planning to make any changes to the arrangement. In addition, Shea will acquire eight office buildings held by DTC in 100% ownership or various partnerships and Marina Square Shopping Center. DTC comprises 900 acres with almost 11 million sf of office and commercial development, and almost 3,500 residential dwelling units.
Meridian International Business Center is almost 1,600 acres with approximately four million sf of office and commercial development and nearly 2,000 residential units. Meridian Village is a new master-planned community entitled for 2,500 residences. "DTC and Meridian business parks are crown jewels of the Denver metro area," says Chetter Latcham, president of Shea Homes Colorado, "and the acquisition makes strategic sense for our company's long-term growth in Colorado. We operate a fully integrated real estate company with a unique synergy between residential and commercial markets. As such we can leverage our disciplines in mixed-use development." Its parent company is the 125-year-old J.F. Shea Co. of Walnut, CA.
"This is a great opportunity to keep DTC and Meridian under local control," says Peter Culshaw, former president of DTC/Meridian. "We believe the legacy of both parks will be preserved and enhanced through this acquisition. We are all excited about becoming part of the Shea family of companies and about the new playing field and capital base for significantly increased development activities."
Culshaw will run Shea Properties Colorado, which is the commercial real estate development arm for Shea's companies. Rob Kaufmann of Brownstein Hyatt & Farber provided the legal work for DTC/Meridian and Liz Sharrer of Holland & Hart represented Shea.
Shea Properties has a national commercial real estate portfolio that includes 5,000 apartments and two million sf of commercial space in California and Colorado, valued at approximately $1.6 billion. Shea Homes is one of the largest privately held homebuilder in the US.
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