A new Cherry Creek office building has a last-minute opening.
Denver-based Broe Real Estate Group has opted not to move it and affiliates of its parent company into the project the firm is finishing up at 200 Clayton St.
That frees up the building’s second, third and seventh floors for a new tenant.
During a tour of the building on Monday, BREG CEO Doug Wells said the company is in advanced negotiations with a firm expected to take the seventh floor, but the second and third floors — about 20,000 square feet combined — remain available.
The second and third floors were originally going to be leased to the railroad company OmniTrax, which — like BREG — is part of Pat Broe’s The Broe Group. BREG and The Broe Group were then going to take the seventh floor.
Now, those entities instead plan to move into the second office building BREG plans to build on the block. That project will have floor plates as large as 30,000.
“Our long-term plan is we will move next door to the second phase, so we can all go on one floor,” Wells said.
Wells said the decision was prompted by a prospective tenant expressing interest in the seventh floor. That caused the firm to take a step back and decide it was a financial win to nix its entire in-house presence.
“We can lease the space out at a rate higher than our internal entities would’ve paid,” he said.
The 76,000-square-foot 200 Clayton building, designed by The Beck Group, broke ground in August 2021. BREG announced last August that the building was fully leased. The company expects to get its certificate of occupancy in the coming days.
Other 200 Clayton tenants are financial services firm AON, which moves from downtown and will take the top floor, and Vantage Data Centers, taking two-and-a-half floors. Charles Schwab is taking a partial floor in addition to ground-floor retail space.
Wells said the corner of 2nd and Clayton is a “main and main” location, and tenants believe locating in Cherry Creek will help them lure employees back to the office.
“This whole area is such an amenity for any building user,” he said.
Wells said BREG hopes to start work on the block’s second phase, which will require demoing two buildings and a parking garage, toward the end of this year. That structure is expected to be completed in late 2025.
BREG also recently submitted development plans to the city for a planned multifamily project at 50 S. Steele St., where the company owns an office building. Wells said the timing of that project, which the company has been planning for years, remains in flux.