One of the state’s fastest-growing real estate companies just opened an office in Colorado Springs.
The commercial real estate market might be down, but it’s not out. In fact, financial analysts have increasingly recommended commercial property as a key component of conservative portfolios with growth potential.
Their rationale: Lower interest rates are driving cap rates up — very attractive to investors with the cash.
Strategic Health Care, a Tennessee-based mental health care provider for geriatric patients, has subleased 8,000 square feet in the former Odyssey Hospice building.
The new 22-bed facility will be the company’s fifth location in the United States. According to Tammila Wright, a broker with Keller Williams Commercial, who represented the landlord and the tenant, the company has found a ready market for its specialized service.
In the “good news” category, two area home builders are planning additional models, banking on an improving home sales market during 2009.
Vantage Homes will open its Monterey II European cottage-style model in Cordera at 4872 Turquoise Lake Court next spring. The three bedroom-plus-loft home will include Energy Star and Built Green features, as well as “move-up” amenities like a gourmet kitchen with butler’s pantry, entertainment area and hardwood floors.
The Research Corporate Center offices at 8610 Explorer Drive were impressive, and the Front Range views were spectacular, but that said, NAI Highland Commercial Group’s six owner-members decided to move back downtown to 2 North Cascade Ave., Suite 300, said spokeswoman Bonnie Nuss.
The commercial brokerage left downtown two-and-a-half years ago in favor of Class A offices on the city’s fast-growing north side.
First phase construction on six multi-tenant buildings planned for a 650,000-square-foot University Village retail center on North Nevada Ave. is scheduled to kick-off Dec.12, according to Kevin Kratt of Kratt Commercial Real Estate.
“In addition to Costco which opens in August 2009, we also still expect Lowe’s and Kohl’s to be ready to go by October,” he said, adding that new retail tenants will likely include names like Panera Bread Co., which plans to open the company’s fifth local store.
As Manitou Springs prepares to enter phase 5A of a three-year facelift to its downtown, Economic Development Director Kitty Clemens has alerted local merchants to some possible construction-related obstruction in the area.
“The burial of overhead power lines and streetscape improvements for Manitou Avenue will continue as … the downtown revitalization project resumes in the 900 block of Manitou Avenue the first week of January 2009,” she said.
In spite of the less-than-optimistic national retail trends, leasing and development continues an upswing along the north Powers Boulevard corridor.
“Retail has slowed, but there’s always interest in good locations from strong tenants,” said Patrick Kerscher of Southwestern Commercial Properties.
The Plaza at Stetson Hills shopping center, for example, will break ground before the end of the year, with tenant move-ins expected by July.
The former Gas Operations building next to America the Beautiful Park has become a beehive of activity since LandCo Equity Partners pulled the trigger on the 32,000-square-foot project last month.
Kurt Kaltenbacher, owner of Copestone Construction Co., said that more than a dozen subcontractors have assigned 40 to 50 people a day to work on the interior remodel.
As many as six sports national governing bodies are expected to move into the former industrial building next February.
DLR Group has been selected to provide architectural and engineering services for the design of an indoor, 50,000-square-foot Equestrian Event Center and ancillary facilities project being developed by the Southern Ute Tribe in Ignacio.
DLR is teaming with the American Indian firm iiná bá Inc. to provide services.