Denver-based Pacifica Holding Company will begin construction on the area’s largest completely speculative Class "A" office buildings in this decade. The buildings will be constructed in the Briargate Business Park.
Financing for the more than $20 million project will come from Apollo Real Estate Advisors in New York with no preleasing.
The office space is welcome as bankers have shied away from wholly speculative building and the vacancy rate for Class "A" office space along the Northern Interstate-25 corridor has fallen to approximately 1%, excluding the basement at Tiffany Square and the Shepard’s building.
The first building will consist of 92,800 square feet in a one-story building on nine acres at the northeast intersection of Chapel Hills Drive and Explorer Drive. Construction is scheduled to begin in March and will be completed by September 1997.
The second building will be 116,000 square feet, three stories, and will be located on eight acres on the southeast corner of Research Parkway and Telstar Drive. Construction will begin in April with completion anticipated in February 1998.
NP Daley Architects designed the buildings, which will have mechanical and electrical systems that will accommodate high-tech tenants.
Karen Gobrecht of Palmer McAllister, a Frederick Ross Co., and Peter Wells of the Frederick Ross Co. represented Pacifica in the transaction. Gobrecht and Kent Mau, of the same company, will be the leasing team for both buildings.
Pacifica is also building 10 projects with approximately 650,000 square feet from Boulder to the southeast corridor of Denver. The company has a $300 million, seven million square foot portfolio of office, industrial, and retail projects in Colorado.