Albuquerque real estate titan buys Santa Fe office complex
Feb. 28—The biggest hotels and the biggest office buildings across New Mexico — that's the speed Heritage's Jim Long operates at.
Long owns the Eldorado Hotel & Spa in Santa Fe, the Hotel Albuquerque and the tallest building in New Mexico, the 22-story WaFd Bank Building in downtown Albuquerque.
He is now under contract to buy the pair of downtown Santa Fe office buildings around a shared courtyard at 150 Washington Ave. and 125 Lincoln Ave. that is sometimes still referred to as First Interstate Plaza. Long expects to rebrand it.
"It's definitely time for a new name," he said in an interview.
Long expects the sale at an undisclosed price to close by the end of March. The complex built in 1984 previously sold for $16.3 million in 2021.
Commercial Properties Inc. real estate firm owner James Wheeler of Santa Fe has previously said the 137,000-square-foot plaza is the largest private-sector office complex in Santa Fe.
The four-story complex is home to The New Mexican offices as well as The Bull Ring, La Boca, Toyopolis, Deloitte, Morgan Stanley, Ojo Optique and Regus. Several galleries and attorneys' offices are also tenants, and Chevron is currently making improvements for office space.
"We think it is a fabulous location," Long said. "The tenant mix has been significantly elevated."
Long said he would extend benefits to tenants to use at his Santa Fe hotels that include the Eldorado, Hotel Chimayó, the Inn and Spa at Loretto and Hotel St. Francis. He said discussions are underway with prospective tenants to replace Market Steer after it moves out of Hotel St. Francis at the end of March.
Long is buying the complex and its underground garage from Winter Park, Fla.-based CTO Realty Growth, which acquired it in December 2021 with 66% occupancy that was built up to 81% by the time the property was listed in October.
"We had a chance to buy this property a number of times in the past, but this time it made sense," Long said. "It's not a speculative building any more. There is stable occupancy now. I think the current owners have done a fine job improving it. We will build on their efforts."
Long said he doesn't have planned improvements yet but first wants to meet with all the tenants for their "concerns and needs."
"We have elevated every one of the Santa Fe hotels," he said. "I'm sure we'll improve these buildings."
The property will fall under Heritage Real Estate Co., which Long founded in 2019. The 10 independent hotels he owns in Albuquerque, Santa Fe, Taos and Las Cruces are within Heritage Hotels & Resorts.
Heritage Real Estate also includes the WaFd Bank Building, the two 10-story Park Square office towers in Uptown Albuquerque and the Sawmill District, which includes Sawmill Market, Hotel Chaco, Hotel Albuquerque and The Clyde Hotel (formerly Hyatt Regency Albuquerque).
Long also owns the former ¡Traditions! outlet mall in Budaghers that has been vacant since 2007 after Long had redeveloped the New Mexico Outlet Center as ¡Traditions! in 2000. It has been for sale for years, but Long senses potential to finally offload the 50-acre property.
"There is quite a bit of interest," he said. "It's zoned for film studios. Several film groups have looked at it. That would be the logical choice."
Long does not intend to flip his new downtown Santa Fe complex in a few years.
"We're into acquiring, improving and holding into the long-term," Long said.
