$125M SKB Fund Closes First Acquisition

DENVER-Scanlan Kemper Bard’s $125 million private equity fund has acquired its first asset, the 140,990-sf Cherry Creek Business Park. Portland, OR-based SKB bought the flex office park from its developer and owner, Dennis Trescott & Co., for $14.8 million.

The office park covers 9.53 acres at 7808 Cherry Creek S. Drive, about 25 miles southwest of Denver International Airport. It was developed between 1984 and 1996 and is 93% leased to 29 tenants.

SKB sees potential revenue growth at the park as leases expire because in-place rents are approximately 10% below estimated market rates, according to Todd Gooding, principal and chief investment officer of SKB. “On the back end, the property can be sold as one investment, or buildings can be subdivided and sold as separate investments,” Gooding says.