Bellco Credit Union Lends $34M for Colorado Springs Office Acquisition
Alturas Capital Partners has nabbed a $32.4 million acquisition loan for its purchase of NorthCreek Office Complex in Colorado Springs, Colorado, Commercial Observer has learned.
Bellco Credit Union provided the 10-year fixed-rate loan. The deal was led by Bellco’s senior commercial real estate banking officer, Greg Lundstrom.
Cushman & Wakefield was the broker with the transaction arranged by Baxter Fain and Christina Grimme from C&M’s Denver office.
Boise, Idaho-based Alturas acquired NorthCreek from Younan Properties for $47 million. Younan officials said at the time of the purchase that the property had 40 percent occupancy with short-term leases.
“Obtaining 75 percent loan-to-value office financing in today’s debt market speaks volumes of the quality sponsorship and real estate,” Grimme said. “Alturas’ approach to ownership has proven to be successful in Colorado Springs and NorthCreek is a well-located, core, suburban asset.”
Located at 5775 Mark Dabling Boulevard adjacent to I-25, NorthCreek is a three-building office portfolio totaling 325,208 square feet. Younan, which bought the property for $15.8 million from LNP Property in 2015, recently completed a $3.6 million renovation of the complex featuring upgrades to the roof, lobby and common areas. Los Angeles-based Younan also made improvements to the property’s parking lot, garage and HVAC system.
Major tenants at NorthCreek include CSAA Insurance, FirstSource Group, PIMA Medical Institute, Econolite Group, the U.S. General Services Administration, the U.S. Drug Enforcement Administration, PMC-Sierra and Wilson & Company, according to Alturas.
“We are excited to grow our portfolio in Colorado Springs,” said Alturas President Travis Barney. “NorthCreek is a great asset in an excellent market with a diverse portfolio of high-quality tenants.”