An investment partnership of Knightbridge and Argosy has acquired a two-building office portfolio in the Denver area for $14 million, according to reporting from The Colorado Real Estate Journal. The assets, known as Three Maroon and Maroon Five, together total 174,000 square feet of office space.
The portfolio consists of two four-story buildings developed several years apart. Three Maroon was completed in 2001, while Maroon Five was delivered in 2008. The properties are located on a combined 10-acre site within the Meridian International Business Center, a master-planned corporate campus that has attracted a mix of office users.
The seller, Mark IV Capital, exited the holdings in a transaction that a Knightbridge spokesman characterized as closing at a meaningful discount to both current replacement cost and prior sales pricing for the same assets. That pricing context suggests the buyers were able to secure the stabilized portfolio below what it would cost to construct comparable product today and below historic valuation benchmarks for these particular buildings.
Occupancy across the two-building portfolio is reported at a blended 88 percent. The average remaining lease term for the tenant roster is 4.4 years, indicating a weighted-average lease maturity that provides income visibility in the near and medium term while still offering some opportunity for future mark-to-market as leases roll.
Cushman & Wakefield handled sales representation for Mark IV Capital in the disposition. The brokerage team of Aaron Johnson and Jon Hendrickson represented the seller in marketing the assets and negotiating the transaction with the Knightbridge and Argosy venture.
On the capital side, 1st Interstate Bank supplied acquisition financing for the purchase. While specific loan terms were not disclosed, the use of bank debt underscores the availability of senior financing for well-leased suburban office product with established tenancy and remaining lease term.
The Meridian International Business Center location positions the buildings within a large-scale business environment that has historically attracted corporate office users. The four-story configuration of both Three Maroon and Maroon Five and the sizable site acreage may provide flexibility for future repositioning strategies, subject to market conditions and tenant demand.
The transaction adds to Knightbridge’s recent activity in the local office market. Since 2024, the firm has acquired three office buildings in the area, signaling an ongoing capital deployment strategy focused on established assets rather than ground-up development. Argosy’s participation as a partner further supports the joint venture approach to acquiring and operating office portfolios in the current environment.
Combined, the purchase price, in-place occupancy and remaining lease term profile indicate that Knightbridge and Argosy are targeting stabilized cash flow with room for asset management upside. The involvement of an institutional seller, a national brokerage platform, and bank financing reflects the continued presence of traditional capital sources in select suburban office submarkets.
