The Church of Scientology has paid $8.5 million in cash for a building in the Ballpark neighborhood formerly occupied by McClain Finlon Advertising.
Over the past five years, the Los Angeles-based church had considered numerous Denver locations, including the Colorado National Bank Building at 17th and Champa streets that is now slated for a hotel.
It bought the 44,679-square-foot Ballpark building at 2300-2346 Blake Street on Thursday.
The building was listed for $14 million in 2008, following a banner year in commercial real estate, said Kittie Hook, a broker with Cassidy Turley/Fuller Real Estate who represented seller Cathey Finlon.
The property also includes a 90-vehicle parking lot that could be developed.
The church, which has had a presence in Denver since 1971, has 9,200 members here and has outgrown its current space, said Karin Pouw, spokeswoman for the church, which has locations in Englewood, Boulder and Aurora.
The acquisition is part of the organization's program to establish new, expanded Scientology churches in major cities to provide a full spectrum of services to Scientology parishioners and the community, Pouw said.
The building will include public information displays, course rooms and a chapel for congregational religious services, including weddings, naming ceremonies and Sunday services, Pouw said, adding that the site will accommodate outreach and humanitarian programs.
Finlon said she's pleased with the price, even though it's far less than the initial asking price. She paid $2.9 million for the property in 2000 and spent several million dollars renovating it.
"It was a reset of the economy, and we completely understood that," said Finlon, now president of the Denver Art Museum. "We got our money out of it. It was a totally good investment."
McClain Finlon ceased operations in 2008. At its peak, the agency employed 250 people.
Over the past six years, the church's real estate holdings have more than doubled, from 5.6 million square feet in 2004 to 11.5 million square feet today, according to its website.
The Church of Scientology has developed a national reputation for historic preservation, restoring significant buildings throughout the country.
"We work with professionals in adaptive reuse who help us transform the buildings with state-of-the-art infrastructure while preserving and enhancing notable historic or architectural elements," Pouw said. "Historic properties hold personal memories for many people, and because our churches are open to all — to participate in religious services, to be part of community volunteer projects, attend an event or take a tour — members of the community are able to continue to enjoy the building."
