Long-Term STNL Creative Office
Prime Downtown Fort Collins STNL with 9 years remaining
Marketing description
CBRE is pleased to present the opportunity to acquire 242 Linden Street, a fully
leased, single-tenant office asset located in the epicenter of Downtown Fort Collins,
one of Colorado’s most dynamic and walkable urban districts. Originally constructed
1901, the two-story building exemplifies the character and architectural heritage
that define Old Town Fort Collins while offering a modern creative workspace
operated by Spaces, the coworking brand of Regus (IWG plc).
Since its initial occupancy in 2017, Spaces has served as the exclusive tenant under
a NNN lease, recently extended through December 31, 2034. Spaces’ history in
the building, their significant capital investment into the buildout and member
experience, and their recent lease extension provide assurance of their long-term
commitment to the building. This offering provides investors with stable, passive
income from a global tenant with extensive international presence.
Situated amid a thriving ecosystem of restaurants, breweries, boutiques, and
innovation hubs, 242 Linden Street represents an irreplaceable location within a
supply-constrained submarket—Downtown Fort Collins currently reports sub-5%
vacancy and no new office projects under construction.
Investment highlights
LONG TERM, PASSIVE INCOME
The Property is 100% leased to Spaces (Regus | IWG) through December 31, 2034 under a true
NNN structure. A guaranty by RGN-National Business Centers, LLC enhances the credit of the lease
with a guaranty of $474,000 as of January 1, 2026, an amount equal to more than one year’s rent.
With approximately 9 years of remaining lease term, 3% annual rent escalations, a strong guaranty,
and a favorable NNN lease structure, 242 Linden provides investors with a durable and predictable
stream of passive income.
IRREPLACEABLE DOWNTOWN LOCATION
Situated in the heart of Old Town Fort Collins, 242 Linden Street sits amid a vibrant collection of
restaurants, craft breweries, boutiques, and creative offices that define the city’s character. The
property enjoys exceptional walkability, direct access to public parking, and strong pedestrian
visibility along Linden Street, Fort Collins’ most active commercial corridor. Few downtown assets
combine such historic appeal with modern tenancy, creating long-term intrinsic value.
HISTORIC CHARACTER WITH MODERN FUNCTIONALITY
Originally constructed on 1901, the building blends historic brick-and-beam architecture with
contemporary office interiors suited to today’s flexible workspace demand. Its presence within the
National and City Historic Districts underscores its authenticity, while available state and local tax
incentives – including a 20% Colorado historic rehabilitation credit – offer potential financial upside
for future improvements. This balance of heritage and adaptability supports enduring tenant and
investor appeal.
TIGHT MARKET FUNDAMENTALS
Downtown Fort Collins remains one of Colorado’s most supply-constrained office submarkets, with
vacancy of roughly 4.5% and no new office projects under construction. The lack of new supply,
coupled with consistent rental growth and strong tenant retention market-wide, positions the asset
for long-term stability and rent appreciation. In a market with exceptional supply-and-demand
dynamics, well-located assets like 242 Linden Street are positioned to command premium tenant
demand for decades to come.
HIGH-GROWTH REGIONAL ECONOMY
The broader Northern Colorado region – anchored by Fort Collins, Loveland, and Greeley – is
among the fastest-growing economies in the United States. Fueled by a diverse employment base
spanning technology, bioscience, energy, and higher education, the area benefits from a 3.3% labor-
force increase, 3.5% job growth, and a sub-3.5% unemployment rate. These dynamics support
sustained demand for creative office environments and underscore the long-term resiliency of the
Fort Collins market.
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