Amstar Acquires The Citadel, Cherry Creek, Office Building in Denver, CO
Denver, Colorado (June 15, 2017) - Denver-based Amstar announced today its acquisition of The Citadel, a 131,000 square foot office building in the Cherry Creek submarket of Denver, Colorado. This acquisition marks Amstar’s first new investment in the U.S. after a focused asset management and disposition effort of its existing portfolio over the past 12 months. Amstar is quite familiar with the Denver market having developed several residential properties throughout the city, and previously owning Independence Plaza, a 567,000 square foot office building in downtown Denver, for nearly 14 years.
In response to its recent activity, Jason Lucas, Amstar’s President commented, “Amstar is pleased to have started the implementation of its re-investment strategy which begins with The Citadel, a beautiful asset in a dynamic and thriving submarket. We continue to actively seek similar office and multifamily opportunities in U.S. markets that exhibit strong population and job growth trends.”
Located on Cherry Creek South Drive, The Citadel benefits from a number of demand drivers including proximity to Denver’s most desirable high-end neighborhoods, walk-ability to Cherry Creek North and the Cherry Creek Shopping Center, and easy access to the Cherry Creek Trail - a 42-mile paved pathway connecting Denver’s neighborhoods with the Front Range.
The Cherry Creek submarket has recently experienced a surge of residential, commercial and hotel development activity. The Citadel stands to benefit from its close proximity to the new projects and the persistent demand in the submarket. Amstar will invest approximately $2 million in capital improvements to enhance the interior of the building and to create a unique exterior amenity. Kim Sperry, Managing Director for Amstar commented, “The Citadel is a timeless, iconic building with an impressive roster of high profile tenants that include New York Life, Wells Fargo, Oppenheimer and W.G. Nielsen & Co. Our business plan centers on creating an attractive place of business for our tenants by improving the building’s physical attributes and providing the highest level of tenant service within the market at a competitive price point.”
Mike Winn, Tim Richey and Chad Flynn with CBRE Capital Markets, Institutional Properties, in Denver represented the seller for this transaction.
Established in 1987 and headquartered in Denver, Colorado, Amstar is a real estate investment manager that acquires, develops and manages office, multifamily, retail, hotel and industrial properties in select U.S. and international markets. Originally formed to invest and manage the real estate allocation of a large family office client, Amstar began expanding its capital strategy nearly a decade ago and has grown to more than $1.5 billion in assets under management (as of December 31, 2016). Today, Amstar is proud to provide a high degree of focus and attention to its client relationships, counting among them leaders in the private and institutional investment community. Amstar’s clients originate from across the globe and include U.S. and European institutions, insurance companies, private banks, funds of funds, and other family offices.