Fuller Sells $4.5M Littleton Building

(Colorado Real Estate Journal, November 6, 2019) Two brothers trading out of an apartment asset in Colorado Springs bought a Ken Caryl office building for $4.5 million. Kipling Investment Group LLC sold the 26,468-squarefoot Ken Caryl Executive Plaza in Littleton to 10268 Centennial LLC, which was completing a 1031 tax-deferred exchange. The three-story building is located at 10268 W. Centennial Road in Ken Caryl Business Center. Financial consulting firm Five Rings, which occupies the entire third floor, is the largest tenant in the building, which was 97% occupied by a mix of professional office and medical tenants. “The property offers the most premier location in the Ken Caryl Business Center, with p r o m i n e n t frontage on busy Kipling P a r k w a y , which serves to assure full o c c u p a n c y over time,” said John Becker of Fuller Real Estate, who represented the seller with Fuller’s Mike Haley. “Access to neighborhood retail amenities for the tenants is excellent as well.” According to Haley, there was “solid interest” in the building, which offered a stabilized asset in an appealing business setting. “Overall, Ken Caryl is strong as far as occupancy levels,” he said, adding Lockheed Martin’s expansion in southern Jefferson County also has a positive effect on the park. The buyers are improving their yield by shifting from the apartment building, which they sold at a lower cap rate, to office product, Haley said. “We’re seeing some of that out there right now – investors liquidating out of apartments and looking for higher-yielding assets such as office.” Kipling Investment Group built Ken Caryl Executive Plaza in 2004.