The University of Colorado Denver is set to buy one of downtown’s struggling office towers for $29.75 million.

The institution’s Board of Regents voted on Monday to purchase the Independence Plaza Building at 1050 17th St., the 25-story office located across the street from Skyline Park and the Daniels & Fisher Tower. 

The Denver Downtown Development Authority also approved $4.5 million on Wednesday to help fund a 30,000-square-foot regional innovation and entrepreneurship hub led by CU Denver and Denver Economic Development and Opportunity at the site. 

It would be the latest office building in downtown Denver to have been sold at a steep discount, ever since the pandemic spurred a wave of companies shuttering or downsizing their offices.

The building constructed in 1971 last sold for $144.5 million in 2007 to Independence Plaza Group LLC. The sale is expected to close Friday.

The university seeking more space for campus activity is buying the building to further its presence downtown and give students more opportunities to be near employers, according to a presentation to the DDDA. The building could be used to help CU Denver move around some of its departments in aging campus buildings and/or lease office space to businesses and CU partners — some of whom could potentially offer internships to students.

Overall, the building would give the university more space to move its departments and facilities around and help build up the school’s workforce and economic development programs.

Because the expansion would increase the span of the campus vastly, the university said it would consider funding a “circulator shuttle” to help students get to classes — especially those living at Lynx Crossing on the west portion of Auraria.

CU Denver said it began looking for a space in downtown Denver in 2025 and school leaders toured several properties.

Independence Plaza was the best option due to its value, condition, transit options, marketing and revenue-stream potential and proximity to the campus, the presentation said. It was a “once in a generation opportunity” because of the “historically low” real estate prices, nearby city investments like 16th Street and Denver Pavilions and ability to get money from the DDDA.

The university also said constructing new buildings on the Auraria Campus would be more expensive than using a building that already exists.

The presentation cited a plan to build a new 72,000-square-foot engineering building on the outskirts of downtown was put on hold because it would cost $90 million. 

Independence Plaza, which takes up a whole block connected to 16th Street, spans more than 500,000 square feet.

Another aspect of the sale would be to help support Mayor Mike Johnston’s vision to infuse energy into downtown by finding new uses for empty offices. 

“By expanding its footprint further into the heart of downtown and dramatically increasing the occupancy of Independence Plaza with a blend of academic and private industry uses, CU Denver can play a significant role in fulfilling the vision of a vibrant Denver,” the university said in the presentation.

The Skyline Urban Renewal area — a micromarket around Skyline Park that separates Lower Downtown and Upper Downtown — had more than 42% office vacancy in the first quarter of 2026, according to data from commercial real estate firm CBRE.

A majority of Independence Plaza is vacant, CU Denver’s presentation showed. More than 15 floors are empty.

There are several leases and all are set to expire no later than 2030. The university plans to continue leasing both office and retail space as another form of generating revenue for the college.