KPR Enters Denver With $57M Retail Acquisition
SITE Centers sold the 210,000-square-foot grocery-anchored property.
KPR Centers has purchased University Hills, a 210,000-square-foot grocery-anchored center. The $56.5 million acquisition marks the company’s entrance into Denver’s retail market.
Institutional Property Advisors brokered the off-market transaction, with Executive Director Tom Lagos working on behalf of the buyer. SITE Centers sold the asset, according to CommercialEdge data.
At the time of the deal, the retail center was 100 percent leased. The tenant roster boasts a diverse range of retailers such as King Soopers, Michaels, Marshalls, Office Depot, AT&T, PetSmart, Great Clips, Five Below, Bank of the West, Ulta Beauty, Mika Sushi, Starbucks Coffee and Chick-fil-A, among others.
University Hills encompasses six buildings on some 20 acres. Originally a strip shopping center built in 1953, the property faced decline but was revitalized in the 1990s. University Hills Inc. acquired the land in February 1995 and a joint venture between Goldberg Property Associates and Greystone Realty Corp. purchased the asset in July 1996. The redevelopment was supported by the city and county of Denver, the city council, neighborhood groups and DURA.
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Located at 2750 S. Colorado Blvd. in the Glendale submarket, the shopping center serves around 420,000 individuals within a 5-mile radius of the center, with the average household income of approximately $130,000, according to KPR. Due to its location in a healthy market, the center recorded more than 3.6 million visitors per year.
Active in 18 states, KPR Centers has a portfolio of approximately 10 million square feet of owned and self-managed properties. This year, the company purchased a 1.5 million-square-foot retail portfolio in Florida and the Midwest for $180 million. Kimco Realty Corp. sold the eight assets.
Denver’s healthy retail market
Denver retail market trends kept stable this year. During the second quarter of 2024, the metro sustained a low vacancy rate of 4.6 percent, according to a Colliers report.
The average asking rate increased to $19.06 per square foot, while investment slowed, reaching $351 million by mid-2024, according to the same source. Around 121,000 square feet of retail space was delivered in the metro area in the second quarter, with more than 468,000 square feet under construction.
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