Two Greenwood Village-based commercial real estate firms have purchased a more than 200K SF office tower in Lakewood at a significant discount.

Dunton Commercial and Laminar Real Estate bought Union Tower at 165 S. Union Blvd. in Lakewood for $17.3M, about 32% less than the $25.3M it sold for in 2017, Mile High CRE reported, citing public records.

Union Tower, a 14-story building with 10 floors of office space on top of a parking garage, is the tallest office building in Lakewood, a city southwest of Denver. The office tower is 73% occupied, according to the Denver Business Journal. Tenants include physicians and a chiropractic and physical therapy center as well as mortgage lenders, real estate agents and financial consultants.

The new ownership group plans to invest in improvements and “pursue leasing initiatives designed to enhance the tenant experience while driving long-term value creation,” according to Mile High CRE.

The sale is the latest example of Denver metro office properties selling at steep reductions.

Last year, developer Asher Luzzatto purchased 1625 and 1675 Broadway for about $5.3M — nearly 97% less than what they sold for in 2013. He also bought 621 and 633 17th St. for $3.2M, down from the buildings’ estimated $200M valuation in 2019. In 2024, Koelbel and Co. and Real Capital Solutions closed on two office buildings in the Denver Tech Center for $22M, 73% less than what they sold for in 2006.

The joint purchase of Union Tower is Dunton and Laminar’s first acquisition together.

“Both organizations share a disciplined investment approach and a conviction that today’s market presents unique opportunities to acquire high-quality office assets at attractive valuations,” Dunton principal Nate Melchior told Mile High CRE.

This isn’t Dunton’s first Lakewood asset. The company’s portfolio lists 3900 S. Wadsworth Blvd. in Lakewood.

The firm manages more than 4M SF of office, retail and industrial properties in Colorado, according to Dunton’s website. Its portfolio includes Center Point I & II near Interstate 25 and Colorado Boulevard, Prentice Plaza in Greenwood Village and four Interquest office buildings in Colorado Springs.

Laminar formed earlier this year and purchased 7601 Technology Way in the Denver Tech Center, according to the DBJ.