NORTHGLENN POWER CENTER FOR SALE

November 8, 2012 | 7:00 am ET Staff Reporter

Foreclosure got the best of Marketplace at Northglenn, the more than 660k SF retail power center off I-25 and West 104th Avenue. Now it’s for sale.

Wells Fargo foreclosed earlier this year, through its special servicer C-III Asset Management, according to Trepp. Wells Fargo had a more than $60M CMBS loan on the property that expires in January 2016. But after foreclosure, the property turned into an REO and is now being packaged for salealong with six other unidentified retail assets with Eastdil Secured. Officials with C-III and CBRE (who are leasing the property) declined to comment, and officials with Eastdil did not return calls. Marketplace was the home of the late book retailer Borders. (If you look closely when the moon is full, you can see the ghosts of all the Stephen King books playing poker.) It has Ross Dress For Less, PetsMart, Lowe’s and Old Navy.

It seems counterintuitive that in a hot ‘n healthy Denver CRE market some properties would be struggling. But according to Trepp, there are more than 35 properties with more than $260M in CMBS debt in distress right now in the Denver and Aurora areas. Marketplace’s loan leads the pack. But this property, Towne Center at Brookhill, a 306k SF retail center in Westminster, also has a sizeable $30M loan that went REO last month with CWCapital. But with a rejuvenation after foreclosure, Trepp reports the center already has LOIs with 30k SF worth of tenants.