KPR Centers has purchased a 210,000-square-foot shopping center in Denver for $56.5 million, its first purchase in Colorado.
The New York-based investor bought the 17-acre retail center at 2750 South Colorado Boulevard in University Hills, the Denver Business Journal reported. The seller was SITE Centers, based in Ohio.
The off-market deal works out to $269 per square foot. Broker Tom Lagos of Institutional Property Advisors, a unit of Marcus & Millichap, represented KPR in the sale.
When the deal closed, the shopping center was fully leased and occupied. It’s anchored by King Soopers and includes such tenants as Marshalls, Ulta Beauty, PetSmart, Five Below, Michaels, Office Depot and Starbucks.
It’s not clear what SITE paid for the property or when.
KPR Centers invested in the shopping center because of its “great location,” “great supermarket anchor” and “great mix of junior anchors, national brands [and] food offerings,” Daniel Kaufthal, principal of KPR Centers, told the Business Journal.
The firm plans to add value to the property by implementing asset management protocols, including operating cost efficiencies.
The Denver acquisition expands KPR Centers’ presence into 18 states, with 10 million square feet of grocery-operated shopping centers, according to its website. The firm, founded in 2009 by Dan Katz, has operated in New England, New York and in the Mid-Atlantic, Midwest and Southeast.
Kaufthal said the firm’s growth strategy with its first purchase in Colorado is like a hockey stick.
“Once we feel ready to take action and get a foothold with a first acquisition, we aim to build on that with exponential growth,” he told the Business Journal.
In August, SITE sold Centennial Promenade, an 826,500-square-foot retail property near the only Ikea in Colorado to Seattle-based Bridge33 Capital for $98.1 million, or $115 per square foot.
— Dana Bartholomew
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