Tebo buys 3 buildings on Pearl Street Mall

Groundbreaking was held Nov. 13 for Roosevelt Park Apartments, a 97,000-square-foot, 115-unit, four-story development at Longs Peak Avenue and Main Street in downtown Longmont that is scheduled to open in fall 2013. Digging in are, from left: Lindsey Vanderheiden of Wells Fargo Banks; John Hachmeister of JHL Constructors Inc; Kimberlee McKee and Bill Sawyers of the Longmont Downtown Development Authority; Longmont Mayor Dennis Coombs; Cotton and Keith Burden and Joseph Perrotto of site developer Burden Inc.; David Starnes, redevelopment manager for the city of Longmont; and Aleks Kaplan of SA+R Architects. Photo courtesy Burden Inc.

Michael Davidson
BOULDER — Boulder real estate investor and developer Stephen Tebo has added three more buildings to his downtown Boulder portfolio and is looking for more.

Tebo-1207 LLC last week paid $5,425,000 for 1207, 1211 and 1215 Pearl St., three historic buildings on the Pearl Street Mall that total 12,892 square feet.

Tebo, founder and owner of Tebo Development Co., said he purchased the buildings for a simple reason: "Location, location, location."

The buildings are 100 percent leased, with retail tenants Woody Creek Bakery, Pitaya and Gaiam on the ground floor and offices above.

The seller was 1207 Pearl Street LLC.

"They were at a point where they had a reasonable profit in it. It was just a good fit for both of us," Tebo said.

Tebo, who estimated he owns about 30 properties in central Boulder, said he's looking to make more deals as soon as he can.

"Bring on some more," Tebo said. "The banks are very aggressive in lending money, and we plan to take advantage."

The lending climate has shifted dramatically in the past year, and banks are sitting on money they now want to invest, Tebo said. Commercial real estate is appealing again.

"It's a totally different atmosphere," he said.

Tebo said there are no plans to renovate the buildings, although their zoning would allow the addition of another story.

1207 Pearl Street LLC was represented by Geoffrey Keys and Ashley Overton of Keys Commercial Real Estate.


BOULDER

LIBRARY ARCHITECT: The city of Boulder has selected Studiotrope Design Collective to be the architect for the $3.166 million renovation of the Main Boulder Public Library.

Studiotrope was one of six firms that submitted proposals for the project. The collective is based in Denver.

The design process schedule includes public input on the design options in the spring, and anticipates beginning construction in December 2013, with completion planned for September 2014.


FORECLOSURE FRONT: A report from the Colorado Division of Housing shows the number of homes and commercial properties entering foreclosure is on pace to reach its lowest total since 2006 and that Boulder County has one of the lowest foreclosure rates in the state.

The 7,076 foreclosure filings statewide in the third quarter was down 11.8 percent from the third quarter of 2011, and year-to-date, the number of filings has dropped 2.2 percent. Through September, 22,920 new foreclosures were reported, according to the Division of Housing.

In Boulder County, 214 properties entered foreclosure in the third quarter, down 9.7 percent from the same period in 2011. In Broomfield, the number dropped 20.6 percent, to 50.

State officials believe the improvement is attributable to lower unemployment.

"Employment is now showing up as an important factor in driving down foreclosure rates in some areas," said Ryan McMaken, Division of Housing spokesman, in a press release. "Boulder and Larimer counties, where the unemployment rates are among the best in the state, are seeing some of the biggest declines in foreclosures and foreclosure rates right now."

The number of foreclosed properties sold at auction is dropping at a faster rate, which indicates more owners are able to work out a deal with lenders or at least sell their property, McMaken said.

In Boulder County, 94 properties were sold at a foreclosure auction in the quarter, down 21.7 percent from 2011. Broomfield saw a 17.9 percent drop, from 28 to 23 sales. Statewide, there was a 24 percent drop to 11,898 auction sales on a year-to-date comparison, the report said.


BROOMFIELD

PRICEY APARTMENTS: Wood Partners, the apartment development company building a 297-unit project in Broomfield, has paid $3.77 million for the land for the 13.75-acre project, according to Broomfield property records.

Wood Partners is building the Alta Harvest Station Apartments project at Wadsworth Boulevard and 118th Avenue, across U.S. Highway 36 from the Arista mixed-use development and 1stBank Center.

Construction of the 13-building community was scheduled to start this week, said Tim McEntee, Wood Partners' Rocky Mountain area development director. The first residents could be moving in next summer, and the project is expected to be complete in early 2014.

The seller was Jere Mock. Steve O'Dell of Apartment Realty Advisors was the broker. Wood Partners is the general contractor on the construction project.


LONGMONT

ROOSEVELT PARK: Ground has been broken in downtown Longmont for the Roosevelt Park Apartments, a 115-unit development scheduled to open next fall. The development is on 1.7 acres on Main Street and Longs Peak Avenue and is adjacent to Roosevelt Park.

The apartments are part of a $20.9 million-dollar mixed-use project being developed by Burden Inc., a Niwot-based local real estate developer. The four-story building will have ground-floor commercial space for retail or restaurants and includes a 215-unit parking garage.

Burden Inc. has received substantial financial support from Longmont for the Roosevelt Park Apartments. The company will spend about $16 million to develop the project. The Longmont Downtown Development Authority has committed $3.5 million, and the city of Longmont $1.4 million.

Denver-based Shears Adkins Rockmore is the architectural firm that designed the project. JHL Constructors Inc., of Centennial, is the general contractor.


LOUISVILLE

CHASING THE DREAM: Sierra Nevada Corp. has been offered a tax-incentive deal from the city of Louisville to expand into a vacant 50,000-square-foot space as it continues building the DreamChaser spacecraft.

The Louisville City Council earlier this month approved a business assistance agreement with Sierra Nevada, which employs about 125 people in the Colorado Tech Center at 1722 Boxelder St.

Sierra Nevada is a privately owned aerospace company headquartered in Sparks, Nevada. Its local employees develop satellites and work on the DreamChaser, a reusable spacecraft that would be privately owned and operated.

Sierra Nevada needs more room to work on the DreamChaser, and the company is considering a vacant 50,000-square-foot space at 315 CTC Blvd., which formerly was occupied by Inovonics Wireless Corp. Sierra Nevada will keep its current facility.

The company is expected to add 79 jobs to its Louisville operation to work on the project. Most of the new employees will be engineers with an average salary of $120,000 per year, according to the Louisville Economic Development Department.

While Louisville offered Sierra Nevada rebates for building fees and use tax, the company had not finalized its decision.

Michael Davidson can be contacted at 303-630-1943 or mdavidson@bcbr.com