Tucked away in north Denver’s Clayton neighborhood, a former medical supply facility built in 1942 for the U.S. Army, is quietly becoming a business and entertainment hub.
Real estate developer SKB bought the 37-acre site, at York Street and E. 39th Avenue, in 2020 and began signing office, industrial and retail tenants. Known as York Street Yards, it’s now 75% occupied and its latest addition, Elemental Bakery & Coffeehouse, is scheduled to open on Wednesday, Dec. 18.
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“York Street Yards has the potential to be a true food and drink hub, and I wanted to be part of that,” said Cindy Wright, owner of Elemental. “I thought York Street Yards was such a unique location. I liked the look of the buildings and thought it was a really cool area.”
Elemental began as a coffee trailer in Central Park, where it operated from 2021-2023. At its new 2,500-square-foot home on 3875 Steele St., the shop will offer specialty coffee drinks, fresh baked goods and grab-and-go sandwiches by Sani Obhodas, AKA “The Bosnian Baker.”
Wright also hopes the cafe will act as a communal spot where York Street Yards’ other tenants can foster meaningful relationships, something she feels is currently lacking. “There’s no space where everyone can come together. We have such a diverse mix of businesses, and it would be really cool to connect at a coffee shop and actually get to know each other.”
Those tenants include Cohesion Brewing, which brings in rotating food trucks; Stick & Feather, a golf simulator and bar; Skiptown, an off-leash dog park and bar; food trucks like Carreras Tacos and Tortas El Pelucas; and retailers including an e-bike shop, adult craft store, furniture boutique, CrossFit gym, workout studio and beauty salon. The Lighthouse Writers Workshop also makes its home here in a newly built structure.
But SKB plans to bring in even more culinary and entertainment concepts, including Beat The Bomb, an escape room that is slated to open in 2025, according to SKB senior vice president Rebecca Arnold. The developer is even considering adding a small grocer to help address the area’s status as a food desert, though nothing is set in stone on that front yet.
“The neighborhood has always had a strong residential base, which we appreciated and found appealing. But the property itself needed some investment to attract the quality tenant base we’re seeing today,” explained Arnold.
Part of the goal was to make York Street Yards fit with the rest of the neighborhood, which is why large warehouse spaces were divided into smaller suites and why SKB built a road through the project and a connection to the 39th Avenue Greenway — a mile-long park and trail.
But some think the property feels disjointed from the rest of Clayton. “York Street Yards has always been kind of separate — not necessarily on purpose, but they’ve built this mini outdoor gathering space that feels self-contained,” said Jeff Fierberg, co-owner of Hot Shot Coffee, 3358 York St., and its adjoining event space Dry Clean Only, which opened in May.
“For Clayton to thrive, there needs to be more room for development, and rezoning should be made easier. But we need to preserve authentic third spaces where the community can come together,” Fierberg continued. “That’s why we went in the direction we did. We keep drip coffee prices as low as possible so people can sit and hang out as long as they like.
“Growing up in Denver, I’ve seen how neighborhoods develop and build their identities, and I believe Clayton will follow that path,” he said. “The neighborhood has a forward-thinking and progressive association, along with an engaged community eager to improve walkability and support small businesses.”
Arnold said York Street Yards’ goals are actually similar to Fierberg’s. SKB hopes the project will attract more retailers and events that incentivize Denverites to visit the area.
“We created an enormous yard space in the center of the project specifically designed for events,” she explained. “A few years ago we hosted a brunch fest, then Denver Fashion Week in 2023, and the USA Today Wine & Food Experience in September. Slowly but surely, we’re attracting larger events that invite not just the neighborhood but all of Denver.”
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