New Hotel Adding Fuel To Fire Of Beltway Boom
by Glen Richardson
South Colorado Boulevard is heading into summer with explosive momentum: Three new retail redevelopments are getting underway plus two towers along the thoroughfare have sold to a Middle East investment firm for $62 million. Furthermore, at the Colorado Center — the southernmost dense pocket on the corridor — where Lincoln Properties currently has a 15-story office-retail building and 189-unit apartment complex under construction the developer is also planning to build a hotel.
Once the business backwater to flashier projects in Cherry Creek and downtown, a potent mix of fierce market demand, older properties ripe for redevelopment, plus high traffic volume is fueling a race to rebuild. The muscle behind the boulevard’s new driving power is Glendale’s $175 million entertainment and retail venue planned between Colorado Boulevard and Cherry Street, and Virginia Avenue and Cherry Creek Drive North. Creating added horsepower and torque to the business breakaway are the two $50 mil
lion Sonic Automotive car dealerships (Mercedes-Benz and BMW) under construction on the east side of Colorado Boulevard in Glendale.
Colorado Blvd. real estate market watchers remind the Chronicle that North Carolina-based Sonic originally swapped its Cadillac dealership in Lone Tree to John Elway Automotive Group for the Colorado Blvd. Chevy site. Initially Sonic planned to continue running the Chevy dealership but later came to the conclusion, “the real estate was more valuable than the Chevy business.” Moreover, both the BMW and Mercedes dealerships now under construction will have two-story showrooms. Insiders note the property has to be very valuable to go vertical because it’s very expensive.
Buying Binge
Directly across Colorado Blvd. from the Mercedes-Benz dealership under construction, Florida real estate investor and car dealer Ira Lang has purchased the site that once housed language-learning center BridgeEnglish. The two buildings on the site at 915-925 S. Colorado Blvd. will be redeveloped into 7,020 square feet of new retail space. The Miami Beach investor who already owns more than a half dozen properties on Colorado Blvd., paid $3.275 million for the prime property on the corner of Colorado
Blvd. and Kentucky. Longtime Lang associate Gary Glusman — who manages all of Lang’s Denver properties — says, “we simply ran out of buildings to buy as investments along Colorado Blvd. so we are buying older properties that can be redeveloped.”
Lang Development has also purchased a parcel of land at Colorado Blvd. and Arizona for $3.2 million. A three-story, 17,706-square-foot office building sits on the three-quarters of an acre site. The 52-year-old building will be partially demolish
ed and remodeled. The building is being redeveloped with 70 off-street parking spaces.
Further south at 2865 S. Colorado Blvd. Lang is redeveloping a 15,000-square-foot, three-story office building near one of Denver’s busiest thoroughfares. Located just north of Hampden Ave. with easy access to I-25, Lang paid $825,000 for the property in an area that already has several office and retail new construction and redevelopment projects. G3 Architecture is designing all three of Lang’s retail redevelopments.
Greenbacks Buy
Investcor, an active investor in U.S. real estate based in the Middle East island country of Bahrain on the western shores of the Persian Gulf, has purchased the two Centerpoint Towers on Colorado Blvd. for $62 million. Built in the early 1980s, the Centerpoint 
complex is comprised of two office towers located at 3900 E. Mexico Ave. and 1777 S. Harrison St.
Seattle-based Unico — owner of a cluster of Cherry Creek North buildings — was the seller. Back in 2006 and 2012 Unico paid a total of just more than $38 million for the two buildings.
Centerpoint II made up the majority of the sale price at $32.7 million. The tower is a 17 story building with 205,000 rentable square feet. At 14 stories Centerpoi
nt I is the smaller tower and has 168,000 rentable square feet, accounting for $29 million of the sale price.
Full Tilt Ahead
The Colorado Center — where new residential and retail components are under construction near Colorado Blvd. and Evans — has been ripe for growth since the light rail station opened. With 35 stations across five lines, the existing light rail system allows for fast and easy metro area travel.
More than one million square feet of development is currently underway on the 13-acre office, retail and entertainment complex. Tower III construction began in August of 2015. The Main Street and the Residential Tower construction got underway this June.
Buildings featuring 269 apartment units and 40,000 square feet of retail space are being built closest to the transit station. Already featuring three Class-A 
office buildings, a Dave & Busters plus United Artists Colorado Center Stadium 9 and IMAX, a hotel is the logical next addition to the Center’s portfolio. Although shown in Denver’s Tryba Architects master plan, the firm has yet to release a rendering of the proposed hotel.