Denver’s Peakview Tower Trades Hands for $66M

KBS has sold Peakview Tower to a joint venture led by Vanderbilt Office Properties for $66 million. The 264,000-square-foot trophy office asset is located in Denver’s Greenwood Village area.

KBS acquired the property in 2012 in a move to increase its exposure to Denver, a city KBS likes for its growth and value potential. Denver has a strong tech talent pool, large millennial population and consistent job and population growth. During its ownership, KBS completed several capital improvements and added a fitness center and tenant lounge to the property.

Peakview Tower features 27,600 square-foot floorplates, 9-foot-plus ceiling heights and covered parking as well as several amenities, including a two-story lobby atrium. Plus, the property is walking distance from a food hall, Starbucks, grocery store, a movie theater, more than 200 hotels rooms and public transportation.

This deal builds on an already active year for KBS, which has been buying and selling office assets throughout the country. In May, the firm sold Woodbridge Corporate Plaza, a six-building, class-A office complex in Iselin, NJ, for $88 million to Northeast Capital Group.

On the acquisition side, KBS has partnered on three deals with Prime US REIT, including the purchase of Sorrento Towers in San Diego for $146 million from Shorenstein Properties and the purchase of One Town Center in Boca Raton, Florida, for $99.5 million from a joint venture between CP Group and Siguler Guff & Co. KBS will serve as the US-based asset manager for Prime US REIT, which trades on the Singapore Exchange.

Earlier this year, KBS said boldly that office buildings are not going away. Giovanni Cordoves, KBS western regional president, told GlobeSt.com, “As long as workers have a need for community and employers strive for ingenuity and collaboration, there will be a demand for office space.”