Denver 5151 Bannock Street Sublease: Prime Space, Short Term

5151 Bannock Street: A Detailed Overview

Seeking a prime industrial space in Denver for your business? 5151 Bannock Street offers a compelling short-term sublease opportunity, encompassing a substantial 36,295 square feet, including a significant 16,000 square feet of cooler storage. This unique property presents both advantages and challenges that demand careful consideration. Its strategic location, ample parking, and competitive lease rate make it an attractive option, yet the short-term nature of the lease and triple-net (NNN) structure require thorough due diligence.

This article provides a comprehensive analysis to help you determine if 5151 Bannock Street aligns with your business needs. We will examine the property's key features, weigh its pros and cons, and provide actionable steps to guide your decision-making process.

Property Highlights and Lease Details

5151 Bannock Street's 36,295 square feet of space include a substantial 16,000 square feet dedicated to cooler storage. This is a significant advantage for businesses requiring temperature-controlled environments, such as those in food distribution, pharmaceuticals, or specialized manufacturing. The property boasts excellent access to major highways (I-25 and I-70), simplifying transportation logistics. Parking is also plentiful, with 38 car spaces and 15 spaces designated for trucks and trailers. The current lease rate is $4.95 per square foot, triple net (NNN) – meaning property taxes, insurance, and maintenance are the tenant's responsibility. The lease expires January 31, 2025.

Advantages and Disadvantages: A Balanced Perspective

Pros:

• Strategic Location: Proximity to major highways minimizes transportation costs and improves operational efficiency. Isn't streamlined logistics a major benefit for your bottom line?
• Extensive Cooler Space: The significant 16,000 square feet of cooler space is a considerable asset, attracting businesses with temperature-sensitive storage needs. How crucial is this specialized storage for your operations?
• Competitive Lease Rate: The $4.95/sq ft NNN lease rate is likely competitive for the Denver market, especially considering the cooler space and location. Does this represent a significant cost savings for your business?
• Ample Parking: The abundant parking for cars and large vehicles is a major plus in a busy urban environment, ensuring efficient deliveries and employee convenience. Wouldn’t this ease logistical challenges for your business?

Cons:

• Short Lease Term: The lease's expiration on January 31, 2025, necessitates careful planning. Does this align with your company's short-term and long-term growth strategy?
• Triple-Net (NNN) Lease: The tenant is responsible for property taxes, insurance, and maintenance, increasing the overall cost. Have you factored these additional expenses into your budget projections?
• Missing Specifics: Further investigation into ceiling height, loading docks, and power capacity is crucial to confirm suitability for specific operational needs. What additional information do you need to conduct a thorough assessment?

Denver Industrial Market Analysis and Next Steps

While a comprehensive market analysis requires further research, preliminary data suggests the lease rate and property features are competitive within the Denver industrial real estate market, particularly given the substantial cooler space. However, independent verification is crucial.

To proceed thoughtfully:

1. Contact Cushman & Wakefield: Schedule a property tour and request detailed specifications. A hands-on assessment is invaluable for making informed decisions.
2. Conduct Due Diligence: Before committing, verify all details, including ceiling heights, loading dock configurations, and power capacity, to ensure the space fully addresses your specific business needs.
3. Develop a Comprehensive Budget: Prepare a detailed financial plan encompassing rent, taxes, insurance, maintenance, and potential relocation costs beyond the lease term.

Risk Mitigation Strategies

5151 Bannock Street presents a unique opportunity, but careful planning and due diligence are essential. Thorough assessment of the pros, cons, and potential risks will empower you to make a strategically sound business decision.