CREJ Highlights August 2007

CREJ Highlights August 2007 1024 597 Central Development Properties

Denver-based Sage Hospitality Resources plans to develop a W Hotel and Residences in downtown Denver – the first W brand hotel in Colorado.

The hotel will be located on a 45,000-square-foot parcel at the corner of Market and 16th streets that currently is occupied by Office Depot. Sage purchased the parcel and will be actively involved in working with officials at Office Depot to relocate the store downtown.

In 2008, work will start on the hotel. Preliminary plans for the Denver W Hotel include 180 guest rooms and 56 upscale residences.

The brand, launched in 1999 by Starwood Hotels & Resorts, includes luxury and full-service hotels, retreats and residences.

Fontius building sells to local developer

Less than a month after developer Evan Makovsky of Shames-Makovsky Realty Co. purchased a city block long targeted for redevelopment, he acquired a historic landmark on the 16th Street Mall. Makovsky acquired the Steel Building, commonly known as the “Fontius Building” for the Fontius Shoe store once located on the ground floor, from the Gary Cook family. The building at the corner of 16th and Welton streets in downtown Denver has been nearly vacant since 1988.

“The stars have aligned…again,” said Makovsky. “We are in the early stages of identifying what companies will occupy the building; however, we will proceed with vigor to rehabilitate the exterior.”

Architecture firm klipp will manage the redevelopment of the Steel Building and an Urban Land Institute panel will travel to Denver to study the site and make recommendations on best uses. In June, Makovsky announced the acquisition of approximately 75,000 square feet of Block 162, on 15th, Welton and California streets, and up to the Washington/McClintock and Steele buildings. He plans to develop 1 million sf of mixed-use product.

Investment group buys Cable Building for $7m
An investment group headed by Jeremy Records of Central Development Co. closed on the $7 million acquisition of the historic Cable Building in Denver, where it plans to build a 217-room hotel.

Construction is expected to get under way in summer 2008 and take 18 months to complete. The building at 1801 Lawrence St. was built in 1899.

“What we’re going to do is add to it to make it function for the next 100 years,” said Records, noting the exterior of the existing building will be retained.

The new 15-story tower will give the appearance from the street of not being connected to the existing building, Records said.
Cable Building Partnership LLP, headed by Jim Judd, a longtime Denver builder and preservationist who saved the building from being razed in 1971, was the seller.

Dick Sampson of Shames-Makovsky Realty Co. handled the transaction.