DENVER | Main Development Thread #7

[BG918]

^ 1144 15th is a beautiful tower, wish it had been about 200 ft taller. A few more glassy towers would definitely modernize the skyline. I would've imagined we would see more condo and apartment towers but the recent boom has been more low-rise in nature.

[CherryCreek]

Originally Posted by BG918

^ 1144 15th is a beautiful tower, wish it had been about 200 ft taller. A few more glassy towers would definitely modernize the skyline. I would've imagined we would see more condo and apartment towers but the recent boom has been more low-rise in nature.

Denver has been blessed/cursed with so much prime "empty" land close to downtown (Union Station/Rino) and so close to the new transportation corridors that most of our development has focused there - with all of its height restrictions.

Only three real high rises this cycle is disappointing.

[SirLucasTheGreat]

It would have been a cool to have a few more skyscrapers but my hope is that all of the transit-oriented development creates a much more connected and urban feel in Denver. TOD seems to have been the hallmark of this cycle. It seems like stadium district infill is going to preoccupy a lot of development over the next ten years whether that be near Coors field/Arapahoe Square, River Mile, or near Sports Authority Field at Mile High.

[TakeFive]

Originally Posted by SirLucasTheGreat

What do you guys think is Denver's signature skyscraper? The cash register building? Are you content with it staying that way for a while?

While this boom-cycle has brought new/developed neighborhoods (Union Station/RiNo), towns like Austin seem to be growing much more vertically with much more interesting looking towers. Just look at this one that is under construction in Austin

That's going to be a nice building. Austin has had the advantage of attracting more 'A' list tech companies.

https://austin.curbed.com/2019/4/2/18291500/google-building-austin-new-design-pelli

For architecture fans, it was worth the wait. The currently unnamed building is designed by internationally renowned firm Pelli Clarke Pelli, fresh off the completion of a building for another tech giant, Salesforce Tower, which is now the tallest building in San Francisco.

A building-height, curved glass wall and tapered structure allows outdoor terraces on every level, creating the overall effect (as many have noted) of a sail eternally catching a breeze from the lake across the street.

Block 185 will be 35 stories with 793,883 square feet of office space. This building recently broke ground and Google has committed to lease the whole building which is right next door to the 29-story 'Google Tower.'

Austin hasn't had the issues building condos that Denver experienced. The Independent has 58 stories (690 ft) and The Austonian 56 stories (683 ft).

Originally Posted by BG918

^ 1144 15th is a beautiful tower, wish it had been about 200 ft taller. A few more glassy towers would definitely modernize the skyline. I would've imagined we would see more condo and apartment towers but the recent boom has been more low-rise in nature.

Definitely agree; 1144 15th is very elegant. I'd also agree Hines missed by not going at least 10-15 stories higher.

[SirLucasTheGreat]

Definitely agree; 1144 15th is very elegant. I'd also agree Hines missed by not going at least 10-15 stories higher.

In addition, it would have been great on another lot that isn't shared with another +600ft building. 1144 would have been great with another 100 feet and located at 650 17th or something.

[SirLucasTheGreat]

https://www.denverpost.com/2019/08/09/colorado-business-growth-slows/

DP article about slowing business growth in Colorado. Apparently, building permits are down 11.3 percent over the past 12 months.

[TakeFive]

Originally Posted by SirLucasTheGreat

DP article about slowing business growth in Colorado. Apparently, building permits are down 11.3 percent over the past 12 months.

Denver is likely to be underwater by this time next year.
Literally or figuratively?
Both!

[SnyderBock]

Originally Posted by TakeFive

Denver is likely to be underwater by this time next year.
Literally or figuratively?
Both!

While the market for office space nay dry up for a few years, until the next cycle, there is still a huge pent up demand for condos. This demand is not being fulfilled and at some point the market will turn to supplying that demand.

[Tykendo]

Originally Posted by TakeFive

Denver is likely to be underwater by this time next year.
Literally or figuratively?
Both!

Been watching too much Waterworld? Denver will be fine for decades to come. The downer is infrastructure being able to handle the surge that will continue to come.

[twister244]

Originally Posted by TakeFive

Denver is likely to be underwater by this time next year.
Literally or figuratively?
Both!

Denver will be just fine.

[TakeFive]

Hmmm


Source: Know your meme

[TakeFive]

Originally Posted by Tykendo

The downer is infrastructure being able to handle the surge that will continue to come.

There are a number of helpful projects that come to mind and are funded.

• Central 70 will be very nice once it's done.
• Widening 56th Ave from Peoria to Pena will help those folks.
• There's some nice upgrades along Hampden in the vicinity of Yosemite.
• Reconstruction of Washington St in Globeville looks to be impressive
• Reconstruction along Morrison Rd should be very nice for that community
• Reconstruction and realignment of 13th Ave/Holden Place looks like a blue ribbon project for ascendant Sun Valley.

Rockies finally win a game.

[rds70]

Looks like Greystar will be buying and constructing another project with an already approved site plan. They did the same thing with 1800 Market:

https://businessden.com/2019/08/12/arapa...plans-for-13-story-project-sells-for-9m/

Also, a building permit has been submitted for the 990 Park Avenue condominium project:

https://denverinfill.com/blog/2018/08/new-project-park-place-condominiums.html#iLightbox

[TakeFive]

Originally Posted by rds70

Looks like Greystar will be buying and constructing another project with an already approved site plan. They did the same thing with 1800 Market:

https://businessden.com/2019/08/12/arapa...plans-for-13-story-project-sells-for-9m/

I recall (vaguely) reading about the original purchase but then nothing but crickets. Whether they had trouble getting financing, got cold feet, who knows but Greystar's got a good gig going.

I'll give props to SnyderBock as I agree with him that the one slice of the market that needs product is condos. It will be interesting to see if/when Park Place Condominiums breaks ground but I have to believe the market is there.

Interesting news out of the markets today.

The 30-year Treasury bond yield is on the brink of falling to an all-time low
Aug 12, 2019 By SUNNY OH - MarketWatch

The 30-year yield is only three basis points away from its all-time low set in July 2016, when it touched 2.10% after the U.K. voted to leave the European Union. The rate for the so-called long bond had risen to a multiyear peak of 3.46% in November, but has steadily retreated since...

The 10-year T-Bill dropped down to 1.649% today; seems like it was 2.2% not that long ago. That's also a pretty healthy descent.

I also read recently where investors look to pencil a project with a cap rate of ~4.5%. That no longer seems crazy low like it would have a few years ago.

[Robert.hampton]

Originally Posted by rds70

Looks like Greystar will be buying and constructing another project with an already approved site plan. They did the same thing with 1800 Market:

https://businessden.com/2019/08/12/arapa...plans-for-13-story-project-sells-for-9m/

Also, a building permit has been submitted for the 990 Park Avenue condominium project:

https://denverinfill.com/blog/2018/08/new-project-park-place-condominiums.html#iLightbox

Greystar has a nice Denver portfolio so I hope they abandon the existing Kephart abomination and design something completely new. I know everyone else thinks the Welton barges are fine but I walked down the street the other day and holy hell do those buildings have an awful and cold feeling from the street level.

[pablosan]

Originally Posted by Robert.hampton

Greystar has a nice Denver portfolio so I hope they abandon the existing Kephart abomination and design something completely new. I know everyone else thinks the Welton barges are fine but I walked down the street the other day and holy hell do those buildings have an awful and cold feeling from the street level.

I personally feel that they are deplorable. They provide density and nothing else.

[Sam Hill]

Originally Posted by Robert.hampton

I know everyone else thinks the Welton barges are fine...

All I can remember seeing is criticism.

I wish a developer would take advantage of the new zoning and give us a tall, skinny point tower or two. If I remember correctly this 13-story jobby will be another barge, no?

[SirLucasTheGreat]

Originally Posted by Sam Hill

All I can remember seeing is criticism.

I wish a developer would take advantage of the new zoning and give us a tall, skinny point tower or two. If I remember correctly this 13-story jobby will be another barge, no?

Yep it is a barge indeed. It looks like a larger version of Civic Lofts Denver (13th and Delaware), which is to say it looks like someone puked oatmeal.

At least, Market Station and McGregor Square will look interesting. I also like the prism building and the source hotel.

[CherryCreek]

Originally Posted by pablosan

I personally feel that they are deplorable. They provide density and nothing else.

Agreed. Clearly inspired by East Berlin, circa 1980, but with less inviting retail.




I believe the architects may have actually used this picture as a model for housing development along a light rail line:




The souless-ness of the populace walking along urban corridors with such development models is captured by this classic photo:

[wong21fr]

Originally Posted by Robert.hampton

Greystar has a nice Denver portfolio so I hope they abandon the existing Kephart abomination and design something completely new. I know everyone else thinks the Welton barges are fine but I walked down the street the other day and holy hell do those buildings have an awful and cold feeling from the street level.

They've done this twice before (coming in and buying a permitted project) and just go ahead with the approved design since that was probably included in the sales price. No reason to think that the 3rd time will be any different.