Premier Colorado Medical Campus In Longmont Sells

Cushman & Wakefield has facilitated the sale of Longmont Medical Campus, a 104,438-square-foot medical outpatient building at 1551 Professional Lane in Longmont, Denver, Colorado.

This two-story, multi-tenant facility was built in 2002 and underwent its latest renovation in 2022. The property is currently 92% leased to 19 tenants, including CU Medicine, which anchors the building, along with other well-established medical tenants.

The seller, Profere Partners, LLC, based in Broomfield, CO, was represented by a collaborative sales team from Cushman & Wakefield. The team was led by Aaron Johnson from the Capital Markets group in Denver, alongside Travis Ives from the U.S. Healthcare Capital Markets Team. Other members of the sales team included Jon Hendrickson and Mitch Veremeychik from Capital Markets in Denver, as well as Gino Lollio and Tyler Morss from the U.S. Healthcare Capital Markets Team.

Aaron Johnson, Executive Director, comments, “Our client, Scott Pudalov, Managing Member of Profere Partners, demonstrated exceptional vision when acquiring Longmont Medical Campus in 2019, despite its high vacancy and significant capital requirements. Thanks to the region’s strong population growth, there has been consistent demand, allowing our client to successfully reposition the property by quickly leasing a significant portion of the vacant space. Longmont Medical Campus presents considerable future upside, with potential rent growth and projected lease rates for new construction nearly doubling the current rents.”

Travis Ives, Executive Director, adds, “Our team recognized the potential in the expanding Longmont market and saw the opportunity driven by growing demand for space and a lack of supply. The favorable rent growth trends, along with the chance to acquire a well-leased medical building in a tight submarket, positioned the buyer to take advantage of increasing market demand and future rental income growth. Our targeted marketing strategy attracted a diverse range of investors, creating a competitive bidding environment and delivering strong results for our client.”

Located along Colorado’s Northern Front Range, Longmont is a vibrant community in Boulder County, strategically situated between Denver (35 miles south), Boulder (15 miles southwest), and Fort Collins (40 miles north), offering convenient access to the region’s major markets.

Ives further notes, “The medical office sector has remained strong and in demand throughout the pandemic. With traditional medical office investors joined by new capital from other sectors seeking stable cash flow and the recession-resistant nature of medical buildings, competition for premier assets, like Longmont Medical Campus, has intensified.”

Source: Facilities Management Magazine