Unico Properties Lists Final Utah Asset for Sale

Unico Properties has placed its final property in Utah on the market.

The 16-story glass tower at 250 E. 200 S. is being sold through CBRE's National Office Partners team. Brokers Phil Brierley, Cole Macadaeg, and Charley Will are leading the transaction. No asking price is currently listed for the asset.

The building features 374,772 square feet of office space constructed in 1984. Originally known as the CenturyLink building, it holds Class A status and LEED Gold certification. A 2017 renovation added an auditorium conference center, a second-floor outdoor terrace, and a fitness and yoga center. The property includes a five-story garage with 461 stalls and 31 surface stalls, providing 1.31 parking spaces per 1,000 square feet.

The University of Utah serves as the anchor tenant, occupying 38% of the leased space. The university has anchored the tower since 2017 and renewed its lease in 2022. CBRE notes that the university's three-day-a-week return-to-office mandate, effective in August, is generating new demand. Other tenants with renewed or new leases since 2021 include Forvis Mazars, Reaveley Engineers, and Stride Bank. The average remaining lease term across the building is 4.6 years.

The sale strategy centers on 108,638 square feet of vacant space located on contiguous full floors. CBRE states that no other Downtown block larger than 50,000 square feet is currently available. This scarcity positions the tower as a primary option for large tenants seeking space in the urban core. Brokers argue that a buyer can acquire the asset at a stabilized cost more than 70% below the price of new construction.

Market conditions in the Central Business District support this valuation. No new office building has been delivered Downtown since 2022, and no new supply is expected within five years. Class A leasing from 2021 through 2025 exceeded the 2018-2019 average by more than 1.4 times. Competing buildings average 83.5% occupancy. Residential growth nearby includes more than 1,500 apartments added within four blocks over the past five years.

Unico sold the adjacent data center building to Dart Interests in 2023. That site at 205 E. 200 S. is slated for demolition in 2027 to make way for a full-service hotel. The university's lease renewal involved a reduced footprint and staggered expirations. The listing follows a shift in market sentiment, with Class A asking rents in the central business district reaching a record $40.08 per square foot, a 10.9% year-over-year increase.