An Uptown law firm looking to own its office space has closed a deal in its preferred neighborhood: Cherry Creek.
Kline Alvarado Veio paid $5.6 million last week for the four-story building at 100 Garfield St., according to public records.
The building is 17,931 square feet, according to the seller’s website, making the deal worth $311 a square foot. It was 77 percent leased at the time of the sale. Bank of Colorado provided financing for the deal.
The law firm, which has 12 attorneys and two paralegals, currently leases about 2,500 square feet at 1775 Sherman St. It specializes in public finance and commercial and real estate transactions.
Brent Kline, who co-founded the firm with Rob Alvarado and K.C. Veio in 2004, told BusinessDen that “buying was a big goal for us after almost 18 years renting.”
“We’ve always thought of Cherry Creek as the perfect spot for us,” Kline said.
The Garfield Street building was small enough that the firm could make the deal happen.
“It was a fortuitous finding,” Kline said. “There were a couple other buildings that came across our desk, but they were triple or quadruple the size.”
Kline said his firm’s current lease expires in about two years, but it may try to sublet the space so it can move to Cherry Creek sooner. The firm could take up to a floor of the building, leasing the remainder. Current tenants include Bank of Colorado, whose signage tops the building.
Cherry Creek has been an outlier in terms of office leasing activity during the pandemic. Developer Matt Joblon of BMC Investments told BusinessDen in September that “there is so much demand,” in part because some tenants specifically want to get out of downtown.
Kline said, as word got out of his firm’s planned buy, he heard from other professionals downtown. They either expressed similar interest in moving or they wanted to get in on the investment, he said.
“We wouldn’t have bought downtown and we wouldn’t have bought in DTC,” Kline said.
The building was sold by Denver-based Sidford Capital, which purchased it in October 2017 for $4.4 million from Midland States Bank. At the time of that sale, the bank was planning to vacate its first-floor branch, as well as some of the space on the upper floors. That left the structure largely vacant.
“Our plan was to get it repositioned and leased up,” Sidford principal Dan Grooters said.
Sidford also completed some improvements, including repainting the building and redoing the landscaping.
Grooters said the firm started shopping it around with some space still available in case there was interest from an owner-user like Kline Alvarado Veio.
Newmark brokers Riki Hashimoto and Sean Whitney represented Sidford in the sale. CBRE brokers Anthony Albanese, Nic Weld, Jeff Wood and Blake Holcomb represented the law firm. CBRE brokers Blake Holcomb and Brian Hutt are now the building leasing agents.