Califoria Investors Like Denver
Another California investor has come to Denver: San Diego-based Parallel Capital Partners has acquired Tamarac Plaza, a three-building, 355k SF Class-B office complex in southeast Denver, for $23M. It's the company's first Denver deal. Parallel Capital CEO Matt Root tells us that Denver meets the company’s investment criteria perfectly, as a long-term growth market with high barriers to entry for the development of new commercial product, with a reputation for high quality of life and a history of long-term job formation. Adding to its appeal, Denver has a diversified tenant mix. (Though he's probably not used to these 4-degree temps.)
Parallel purchased the complex--Tamarac Plaza I, Tamarac Plaza II and Argosy Plaza--from LNR Partners, and repped itself in the deal. The new owner says it will invest more than $7M in upgrades to the complex to bring it up to Class-A status. Improvements will include new common conference facilities, lobby and corridor finishes and modernized elevators, as well as the creation of spec suites. Parallel will also install new mechanical systems, new way-finding signage and new roofing.