Marcus & Millichap is pleased to present the opportunity to acquire the property located at 5290 East 43rd Avenue in Denver, Colorado. The subject property consists of approximately 36,188 square feet of state-of-the-art greenhouse space and is situated on 1.3 acres of land zoned for general industrial use (I-B). The single-tenant asset features metal construction, two grade-level doors, 10,000 square feet of office space, and a fully fenced-in lot with a security system. Delivered in 2019, the property comes fully equipped with all furniture, fixtures, and equipment, including an Argus Control System and a three-layer fire sprinkler system. Originally developed as a marijuana-growing facility, the vacant property can be occupied with a Tier 3 medical and recreational cannabis license. Located along Interstate 70, East of Colorado Boulevard, the property sits less than six miles from downtown Denver in the Quebec Street submarket.
Quebec Street is a mid-size submarket, containing 11.7 million square feet of industrial space. As one of Denver’s original industrial hubs, Quebec Street has a limited amount of developable land. As a result, the inventory has only expanded by 2 percent since the start of the recent industrial development boom in 2021. Thanks to limited supply, the vacancy rate significantly dropped from 5.4 percent in 2022 to just 2.0 percent by the end of 2023. This compares to a 190-basis-point increase in the overall Denver market to a decade’s high of 7.6 percent. Although market rent growth in Quebec Street slowed to 5.7 percent annually in 2023, the submarket topped the Denver area by 80 basis points (CoStar). As industrial supply continues to drive vacancies across the U.S. in 2024, Quebec Street may be one of the few submarkets to offer investors a safe haven from high vacancies.
Denver-Aurora-Lakewood metro is home to three million people among 10 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 young thriving 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.
