The Hudson’s Bay Centre building at 1600 Stout St. on Friday, Sept. 20, 2024. (Thomas Gounley/BusinessDen)
A 20-story downtown Denver office tower being marketed for a fraction of its most recent sale price is poised to sell to a local buyer.
The 173,000-square-foot Hudson’s Bay Centre, at 1600 Stout St., is under contract to be sold to the Dikeou family, multiple sources told BusinessDen. And records show that a Dikeou Realty executive registered 1600 Stout LLC — likely the specific entity that would make the purchase — with the state last month.
Dikeou Realty declined to comment.
A sale would certainly involve a price that falls well short of the tower’s previous transactions.
Hudson’s Bay Centre is owned by ARTIS HRA Hudsons Bay LP, an entity affiliated with Canada’s Artis Real Estate Investment Trust that bought the tower for $41.5 million in April 2014, according to public records.
Artis said in a 2018 news release that the 2014 sale gave it a 50 percent ownership stake in Hudson’s Bay Centre. The company said it bought the remaining 50 percent in March 2018 for $19 million — a deal not unreflected in public records that imputes a $38 million valuation for the entire tower at the time.
As of this week, the website of CBRE, which has been marketing the building, had the asking price at $10.4 million — a price that had dropped over the more than year the building has been on the market. That works out to about $60 a square foot.
Chris King, CEO of Denver-based DPC Cos., said at BusinessDen’s “The Future of Office” event earlier this month that his firm evaluated the building for a possible residential conversion, ultimately passing on it.
“We looked at Hudson’s Bay Center right on the mall, thinking for conversion,” King said. “We looked at it when it was maybe $17 million, $18 million — something like that — to buy. I think the price came down to 10. I’m hearing maybe sub-10 million now.”
That could potentially put the tower below what it fetched in 1996. It sold for $9.35 million that year, records show.
The tower was built in 1982. (Thomas Gounley/BusinessDen)
The tower was built in 1982 and has floorplates averaging 9,400 square feet. It sits on just over a quarter acre. The tower is 57 percent leased, with no tenant occupying more than 5 percent of the building, according to CBRE marketing materials. Jimmy John’s, Mad Greens are Tuscany Coffee & Deli are the retail tenants.
Back in 2018, when Artis bought the second half of the building, the company said the tower was 81 percent occupied.
The Dikeous own a host of parking lots, and a handful of buildings, in and around downtown Denver. In the past year, the family has sold a small Golden Triangle office building to the Denver Art Museum Foundation and reached a settlement with a state agency that left a building it owns in Uptown.
Locally, Artis also owns 50 percent of The Point at Inverness office building in Douglas County, according to the firm’s website.
The Hudson’s Bay Centre building at 1600 Stout St. on Friday, Sept. 20, 2024. (Thomas Gounley/BusinessDen)
A 20-story downtown Denver office tower being marketed for a fraction of its most recent sale price is poised to sell to a local buyer.
The 173,000-square-foot Hudson’s Bay Centre, at 1600 Stout St., is under contract to be sold to the Dikeou family, multiple sources told BusinessDen. And records show that a Dikeou Realty executive registered 1600 Stout LLC — likely the specific entity that would make the purchase — with the state last month.
Dikeou Realty declined to comment.
A sale would certainly involve a price that falls well short of the tower’s previous transactions.
Hudson’s Bay Centre is owned by ARTIS HRA Hudsons Bay LP, an entity affiliated with Canada’s Artis Real Estate Investment Trust that bought the tower for $41.5 million in April 2014, according to public records.
Artis said in a 2018 news release that the 2014 sale gave it a 50 percent ownership stake in Hudson’s Bay Centre. The company said it bought the remaining 50 percent in March 2018 for $19 million — a deal not unreflected in public records that imputes a $38 million valuation for the entire tower at the time.
As of this week, the website of CBRE, which has been marketing the building, had the asking price at $10.4 million — a price that had dropped over the more than year the building has been on the market. That works out to about $60 a square foot.
Chris King, CEO of Denver-based DPC Cos., said at BusinessDen’s “The Future of Office” event earlier this month that his firm evaluated the building for a possible residential conversion, ultimately passing on it.
“We looked at Hudson’s Bay Center right on the mall, thinking for conversion,” King said. “We looked at it when it was maybe $17 million, $18 million — something like that — to buy. I think the price came down to 10. I’m hearing maybe sub-10 million now.”
That could potentially put the tower below what it fetched in 1996. It sold for $9.35 million that year, records show.
The tower was built in 1982. (Thomas Gounley/BusinessDen)
The tower was built in 1982 and has floorplates averaging 9,400 square feet. It sits on just over a quarter acre. The tower is 57 percent leased, with no tenant occupying more than 5 percent of the building, according to CBRE marketing materials. Jimmy John’s, Mad Greens are Tuscany Coffee & Deli are the retail tenants.
Back in 2018, when Artis bought the second half of the building, the company said the tower was 81 percent occupied.
The Dikeous own a host of parking lots, and a handful of buildings, in and around downtown Denver. In the past year, the family has sold a small Golden Triangle office building to the Denver Art Museum Foundation and reached a settlement with a state agency that left a building it owns in Uptown.
Locally, Artis also owns 50 percent of The Point at Inverness office building in Douglas County, according to the firm’s website.
