The developer of a Loveland high-tech manufacturing campus has withdrawn from the project, citing the inability to secure financing under tight deadlines.
United Properties, a Minneapolis- based company with a number of office, retail and warehouse projects in Colorado, announced the decision Monday.
“During our limited exploratory period, two components critical to us — available credit tenancy and acceptable financing terms — do not appear to be achievable within the required time frame,” United Properties president Frank Dutke said in a statement.
The Colorado Association for Manufacturing and Technology chose United Properties in June to redevelop the former Hewlett-Packard/Agilent campus in Loveland.
Plans call for the property to become a magnet for as many as 100 small to medium-size companies under the name of the Aerospace and Clean Energy Manufacturing and Innovation Park — better known as the ACE Park.
Through a partnership between NASA and the CAMT, the companies would receive help to speed products to market.
Loveland bought the 360-acre, four-building property for $5.5 million. On June 21, the city signed an agreement with United Properties, giving it 60 days to negotiate a deal to buy the property.
The deal called for the city to sell 230 acres to the CAMT and United Properties for $4 million and keep 130 acres for open space.
“Overall, it’s obviously sad that this initial collaboration didn’t work out,” said CAMT executive director Elaine Thorndike. “But we all have learned a lot, and we’re moving forward with the project.”
Loveland economic-development manager Betsey Hale said the city will renew talks with one out-of- state and three local companies that had pursued the redevelopment. Other firms that had expressed interest will be contacted.
“We have every intention of making this happen. We’re committed to it,” said Hale, adding that about 30 potential tenants have toured the property.
Until another deal is struck, the city will have to pay about $40,000 a month for utilities, maintenance and security on the property. Hale said the city is working to manage those costs.
Ann Schrader: 303-954-1967 or aschrader@denverpost.com
