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Arvada, CO

TDA Research

Address:
12325-12345 West 52nd Avenue, Arvada, CO 80002
Property Type:
Multi Tenant
Price:
$4,900,000
Cap Rate:
5.87% cap
NOI:
$287,706
Square Feet:
25,046 sqft
Lot Size:
1.16 Acres
Price Per Square Foot:
$195.64
Year Built:
1984
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* By downloading the Marketing Package (Offering Memorandum) you hereby agree to the CONFIDENTIALITY AND BUYER REGISTRATION AGREEMENT.

Investment Highlights

Investment Highlights

Investment Highlights

  • Two-Building R&D Flex Property on 1.16 Acres
  • Two-Story Buildings with Shop/Lab Space on the Ground Floors
  • Tenant is TDA Research – In Place More Than 30 Years
  • Tenant Has Long-Term Revenue Growth; Federal Government Clients
  • Desirable Submarket with 1.1% Vacancy Rate and $14.50 Average Rental Rate
  • Accessible Location Just Off Ward Road in Arvada
  • Less Than One Mile to I-70

Investment Overview

Marcus & Millichap is pleased to present the opportunity to acquire the property located at 12325 to 12345 West 52nd Avenue in Arvada, Colorado, leased to TDA Research, Inc. The subject property consists of approximately 25,046 square feet of research and development flex space and is situated on 1.16 acres of land. The two-building asset features two stories with shop and lab space on the ground floors. In place for more than 30 years, the tenant, TDA Research, develops cutting-edge chemical processes, materials, and hardware for customers in the defense, aerospace, energy, and chemical industries. TDA Research has experienced long-term revenue growth, and in addition to private firms, its clientele includes multiple federal agencies.

Located less than one mile from Interstate 70 via Ward Road, the subject property is situated within the West Denver submarket. West Denver is one of the metro’s largest industrial submarkets, containing 24.1 million square feet of space. Unlike the overall market, which largely consists of logistics space, West Denver is dominated by specialized space (mostly manufacturing facilities), accounting for 39 percent of local inventory. Flex space and logistics space make up the residual inventory at 32 percent and 29 percent, respectively. Historically, West Denver has maintained a low vacancy rate, averaging just 1.9 percent over the last decade. Halfway through the third quarter of 2022, the vacancy rate sat just above its record low at only 1.1 percent. With availability largely nonexistent, market rents in West Denver grew at a near record 8.5 percent year-over-year during Q3. Market rents averaged about $14.50-per-square-foot, offering landlords a significant 26 percent premium to the overall market. With only about 77,000 square feet under construction (representing 0.3 percent of inventory), rent growth and vacancies will largely be unaffected by new supply for the foreseeable future (CoStar).

Denver-Aurora-Lakewood metro is home to three million people among ten counties. Known as the Mile High City, Denver, which is also a county, serves as the state’s capitol and largest city, with approximately 742,800 residents. Metro Denver houses 10 Fortune 500 companies, including Newmont Goldcorp, Arrow Electronics, and DISH Network. Aerospace, financial services, and health care are some of the industries that have driven economic growth in the new millennium. The passage of Amendment 64 in November 2012, created a new industry in marijuana, largely consisting of thriving young businesses. Metro Denver provides a high quality of life with rural and urban amenities. Rocky Mountain National Park is less than two hours driving from the metro area, and the city houses franchises for all four major sports.

BROKER OF RECORD
Adam Lewis
Denver Broker of Record
1225 17th Street, Suite 1800
Denver, CO 80202
Tel: (303) 328-2050
Adam.Lewis@MarcusMillichap.com
License CO: ER100091205
This information has been secured from sources we believe to be reliable, but we make no representations or warranties, express or implied, as to the accuracy of the information. References to square footage or age are approximate. Buyer must verify the information and bears all risk for any inaccuracies. Marcus & Millichap is a service mark of Marcus & Millichap Real Estate Investment Services, Inc. © 2022 Marcus & Millichap. All rights reserved. (Activity ID: ZAD0050253)