Kentro Group Buys Denver Restaurant Site for $5.25 Million

The purchase secures the property occupied by Los Dos Potrillos, which will continue operations under its current lease.

Updated on Oct. 29, 2026 in Commercial

Gouache-painted illustration of a mid-century brick commercial building, evoking the stability of a long-term urban property investment.
Kentro Group has acquired the Denver property housing Los Dos Potrillos for $5.25 million, ensuring the restaurant's location remains stable until 2035. AI Illustration. Upload story photo >

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The Kentro Group recently acquired the building occupied by Los Dos Potrillos at 4100 E. Mexico Ave. in Denver for $5.25 million. The restaurant will continue its operations at the site, as its lease is set to remain in effect until July 2035.

Why it matters

This transaction reflects ongoing investor interest in the long-term value of properties along the Colorado Boulevard corridor in Denver. For local diners and families, the sale signals stability for the popular restaurant location for the next nine years.

The property occupies 0.65 acres and includes an 8,500-square-foot building. The deal was supported by a $2.9 million loan from First Interstate Bank, with the buyer using proceeds from a 1031 exchange.

The players

Kentro Group

An investment firm active in Denver commercial real estate that is currently evaluating development options for a former King Soopers location.

Los Dos Potrillos

A local restaurant chain that remains the long-term tenant at the 4100 E. Mexico Ave. property.

First Interstate Bank

A regional financial institution that provided the $2.9 million loan for the recent property acquisition.

The details

Kentro Group funded the acquisition using capital redirected from a separate apartment project located at 1001 Lincoln St. By leveraging a 1031 exchange, the firm successfully reinvested proceeds into this high-visibility corridor. The purchase includes the existing structure where Los Dos Potrillos currently operates, ensuring the firm retains a long-term interest in the site's ongoing value.

Timeline

  1. Stradivarius Mexico LLC acquired the building in 2007.

  2. Kentro Group finalized the purchase of the restaurant building during the last week of October 2026.

  3. The current lease for Los Dos Potrillos is scheduled to run through July 2035.

The Home Front

The use of Section 1031 of the Internal Revenue Code allows commercial developers to shift investment capital into new properties while deferring tax liabilities. This practice continues to drive commercial real estate investment activity across Denver's established corridors.

Patrons of the restaurant can expect no changes to operations, as the existing lease remains in full force for the next nine years. Investors and neighboring property owners should monitor the development of the former King Soopers site at 825 S. Colorado Blvd. for future impacts on local traffic.

The takeaway

Commercial investment in the Colorado Boulevard corridor indicates sustained interest in the area's long-term growth. Residents can view this as a period of stability for the property, with no immediate changes to the current tenant or the site's function through July 2035.

Further reading

For more on local business property trends, visit the Denver Commercial section.

Source note: This article includes information reported by The Denver Post.

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