The company working to redevelop a southwest Denver college campus — and weeks from buying the Park Hill Golf Club — has another project on the way.
Glendale-based Westside Investment Partners on Monday paid $16.5 million for a massive vacant warehouse in the Baker neighborhood once used by Sports Authority, as well as two parking lots across the street. In total it adds up to approximately 6.5 acres.
Westside principal and founder Andy Klein told BusinessDen Tuesday that the company plans to ask the city to rezone the sites to allow for mixed-use projects up to five stories.
He said he’d like to demolish the 214,991-square-foot warehouse that spans a full city block at 50 S. Kalamath St., and build an apartment complex on that site. He also wants to build an office building on the 0.61-acre parking lot west of the warehouse, at 39 S. Kalamath St.
“I think that area is going to be the next RiNo,” Klein said. It’s so close to South Broadway, Punchbowl Social and all the bars and restaurants there.”
Sports Authority used the warehouse as a distribution center for decades but closed it in the spring of 2016 shortly before the company liquidated.
The properties were sold by Maryland-based Realterm, which bought them in December 2016 for $10.95 million, netting a 50 percent gain in less than three years.
Brokers Tyler Ryon and Tim Shay of Colliers represented the seller. Ryon said the warehouse, which was vacant when Realterm purchased it, has in the past two years been only partially leased for short periods by companies fulfilling orders during the holidays. The property wasn’t formally on the market.
“We weren’t marketing the building for sale,” Ryon said. “We were marketing it for lease.”
Westside’s Klein said he hopes to move his company’s offices into the building he’d like to construct on the 39 S. Kalamath lot. He said he doesn’t have specifically plans to develop the parking lot south of the existing warehouse, at 101 S. Santa Fe Drive.
“It’s one of the biggest properties under one owner in that area,” Klein said, noting the proximity to Interstate 25 and light rail.
Klein said he hopes to have the property rezoned within a year.
Westside already has one other high-profile redevelopment site in Denver, and hopes to have a second in the coming weeks. The company paid $16.5 million last summer for the 75-acre former Loretto Heights college campus along Federal Boulevard in southwest Denver, and has since hosted multiple meetings with community members; the city recently released a draft plan to guide redevelopment.
Last week, meanwhile, BusinessDen was first to report that Westside was working a deal to purchase the shuttered Park Hill Golf Club, a 155-acre golf course. That deal is currently slated to close July 11, although it has prompted backlash from a former Denver mayor and the Denver Post’s editorial board, both concerned about the loss of open space.
Westside also recently sold the tallest building in Glendale after owning it for three-and-a-half years.