Cronheim arranges $48MM for Denver’s Premier Lifestyle Center
Yet another ‘best-in-class’ property along with $500MM in recent lifestyle center financings in MD, NJ, CT, NY, and FL
10-year fixed rate
Interest only term
Andrew Stewart and Allison Moravec arranged $48 million in financing for the Clayton Lane lifestyle center located in the upscale Denver neighborhood of Cherry Creek. The fixed rate financing was structured with a 10-year, interest-only term, and was placed with the American General Life Insurance Company and the National Union Fire Insurance Company of Pittsburgh, PA, for the borrower, AmCap Clayton, LLC. Cronheim acts as correspondent and servicer for both lenders.
The Subject consists of 335,000 sf and four separate parking facilities situated within a larger mid-rise mixed-use development in the heart of one of Denver’s most affluent urban communities. The subject property is strategically located in the city’s premier shopping district which is also home to the Cherry Creek Regional Mall, anchored by Neiman Marcus, Nordstrom, and Macy’s, the four star JW Marriott Hotel, Janus Capital’s World Headquarters, as well as a variety of boutiques, galleries, dining options, and luxury condominiums. The Subject’s main corner is located at the intersection of East 1st Avenue and University Boulevard, however, the entire asset sits on 3.5 blocks, on over 9.5 acres. This intersection is commonly referred to as Denver’s “Main and Main,” with traffic counts in excess of 120,000 vehicles per day.
The property is currently 99% occupied by variety of upscale, national, and specialty restaurants, high-end clothiers, and furniture retailers, as well as a jeweler and a day spa. Among the impressive roster of tenants is Whole Foods, Crate & Barrel, Arhaus Furniture, Sur La Table, White House Black Market, A Pea in the Pod, Design Within Reach, and Bose, among others. Whole Foods, who anchors the center, and an adjacent Sears will be part of a massive redevelopment that is likely to include multiple uses including office and multi-family.
According to Andrew Stewart, “This property will continue to evolve as one of Denver’s premier lifestyle destinations. Urban planning author, Jane Jacobs, would approve of how this has become a 24-hour neighborhood comprising a multitude of users and uses. AmCap, as an owner/manager, has also proven to us over the 25 years we have known them to be a creative and conscientious operator.”
The subject property is located in the Cherry Creek North retail district. Commonly referred to as Denver’s most exclusive “live, work, play” neighborhood, this 16 block community boasts over 320 high-end boutiques, large retailers, restaurants, salons, spas, and galleries, and hosts a variety of events each year including the nationally renowned Cherry Creek Arts Festival. Cherry Creek has an average household income of $134,600 and a median home value of $584,790 within a one mile radius of the subject property.
AmCap Inc., is a private equity real estate investment firm founded in 1979 with offices in Stamford, CT and Denver, CO. The firm focuses exclusively on premium grocery-anchored retail real estate in high-density U.S. metropolitan markets. AmCap’s nationwide footprint spans fifteen states and totals nearly 5.3 million square feet.