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San Francisco-based Graham Street Realty added to its Denver portfolio with a pair of Englewood office buildings. Affiliate company Paramount Property Company will take over management of the building.

Pyramid Pointe, a 120,279-square-foot building at 9777 Pyramid Court in Meridian International Business Center, and 384 Inverness, a 51,523-square-foot building in Inverness Business Park, sold for $19.4 million. Westcore Properties and American Realty Advisors sold the properties in a deal handled by Newmark Knight Frank Executive Managing Directors Riki Hashimoto and Dan Grooters.

“We are excited about these new acquisitions, which are well-located relative to the new locus of executive and workforce housing in the southeast corridor, and we look forward to the opportunity to lease near-term rollover in a strong market,” said David Messing, Graham Street Realty co-managing principal.

Pyramid Pointe, built in 1995, is a three-story building that was 98 percent leased at the time of the sale. State Farm has a lease for 1 ½ floors that runs through the end of 2018; however, it is vacating the space.

“These types of buildings that have some contractual income still in place yet a value-add component to them are quite intriguing in the marketplace,” Hashimoto said.

The building has a conference room and fitness center. Suites range from 1,000 to 40,000 square feet. GSR plans “incremental” upgrades to the property.

Graham Street Realty plans to improve the property’s landscaping and lobby finishes and perform parking lot maintenance.

Both buildings have access to retail, light-rail stations and recreational amenities.

“We had owned those properties with our partner for several years, the fund was winding down and we felt that those properties were ripe for sale,” said John Fefley, Westcore senior director in Denver. “But it was not without bittersweet feelings because the Westcore team had worked on those properties since 2001, going all the way back to the previous ownership of Mack-Cali,” he said.

Fefley said Westcore was pleased with the price of the transaction as well as the buyer. The company continues to look for office and industrial acquisition opportunities in the Denver metro area and along the Front Range.

Hashimoto said Pyramid Pointe and 384 Inverness were offered as a portfolio along with a couple of other buildings the ownership was looking to sell, “So, we had single building offers and portfolio-type offers. These were the two that made the most sense to transact together,” he said.

Both private and institutional capital looked at the offering.

Pyramid Pointe and 384 Inverness were the second set of assets Graham Street Realty purchased in the Denver metro area in the past 12 months. It bought Aurora Corporate Plaza, a three-building property, and Corporate 25 in Centennial in a combined $34 million transaction in late 2016.

Graham Street Realty is a private commercial real estate investment firm with assets in the Western United States. It focuses on value-add multitenant office investments.

Featured in CREJ’s Jan. 3-16, 2018, issue and onlineRead more about coverage of this transaction at Bisnow.com.

Rent checks at two Arapahoe County office complexes are headed to a different coast next month.

Graham Street Realty, an office real estate affiliate of San Francisco-based Hamilton Zanze, bought 350,000 square feet in Littleton and Aurora office space this month for $34 million. The deal included the Corporate 25 office complex and the Aurora Corporate Plaza.

Aurora Corporate Plaza is the larger of the two office complexes, with three buildings totaling 219,000 square feet. It was about 80 percent leased at the time of sale. Janus and ADP are the two largest tenants on the office park’s rent rolls. The property sits at the corner of Peoria Street and Iliff Avenue.

Corporate 25 totals about 135,000 square feet. Oppenheimer is the biggest tenant in the complex, which sits at 7200 S. Alton Way, just north of Interstate 25 and Dry Creek Road.

New York-based True North Management Group sold both properties, which it bought in 2014. The firm paid $15.2 million for Corporate 25. True North paid $18 million for what was then a five-building complex at Aurora Corporate Plaza.

True North then parted with two of those five buildings last year, keeping only the three that sold to Hamilton Zanze this month. The University of Colorado Health System bought the other two buildings for $7 million in May 2015, according to county records.

Between the University of Colorado deal and the recent Hamilton Zanze deal, True North rung up about $40.2 million in sales between Corporate 25 and Aurora Corporate Plaza.

Read more at BusinessDen.com

Graham Street Realty has acquired The Promenade in Berkeley, CA from Seagate Partners for just over $13.4 million. Set in the heart of downtown, The Promenade is a three-story 43,033 square foot, multi-tenant office building on a ±0.42 acre parcel located at 1936 University Avenue. There is also structured parking that includes 120 parking spaces and is elevator and valet serviced. Built in 1992, the building consists largely of smaller users and was nearly 90% leased to approximately 20 tenants at the time of sale. The largest tenant in the building (and only above 5,000 square feet) is UC Berkeley, which is also a key driver of the local market. Michael Speers with Cushman & Wakefield’s San Francisco office represented the seller in the transaction.

“The Promenade is a fantastic asset positioned in one of the most vibrant, unique and growing markets in the Bay Area,” said Mr. Speers. “Exemplifying its stability, desirability and great pride of ownership, more than half of the existing tenant base has occupied the building for at least 10 to 20 years.”

Read more at TheRegistrySF.com

Latham Square, the long-dormant plaza at the intersection of Broadway and Telegraph Ave. in downtown Oakland, is back open after three years of construction.

Decked with flower beds, trees, a storm water drain system and a century-old fountain that spouts water for the first time in 75 years, the triangular piece of land is four times its original size.

Mayor Libby Schaaf touted the project as a public investment that enhances other improvements to the neighborhood, among them the restoration of Latham Square building and the former Roos Brothers department store at 1500 Broadway.

The new square is part of an ongoing beautification effort to draw more businesses and foot traffic downtown. Uber’s new headquarters will open just blocks away in 2017.

Read more at SFGate.com