Crown Realty & Development, represented by Will Strong, senior associate of Cushman & Wakefield, Inc., sold 5115 N. 27th Ave., a 131,000 SF, single-story flex/industrial building in Phoenix for $6.4M.
The buyer was Grand Canyon University, a private institution that will utilize the property for administrative purposes.
The former Honeywell assembly site, which had been acquired by Crown in 2005, comprises 15.03 acres near a full diamond interchange on I-17 and Camelback Rd. The property is situated in close proximity to Grand Canyon University’s existing main campus.
“During our term of ownership of this property, we have enjoyed the chance to work with GCU and to see them grow significantly,” said Rick R. Carpinelli, SVP Acquisition & Development, Crown Realty & Development. “We are pleased that we could work with GCU on the purchase so they can further their expansion. GCU is a great institution for our community and state. We look forward to seeing their expansion into our former property.”
“This industrial market continues to tighten in terms of buildings available for sale,” Strong said. “The Metro Phoenix industrial market fundamentals are starting to improve with 2.8 MSF absorbed year-to-date, lack of supply and increasing values. This ultimately became an opportunity for Crown to sell a well-located property at a good price.”
Todd Noel of Colliers International’s Phoenix office worked on behalf of Grand Canyon University.
Cushman & Wakefield’s 3Q industrial market statistics show investment sales totaling 2.7 MSF across 28 transactions, on par with the previous two quarters. Several tenants are expected to take occupancy in this year’s last quarter, which will add an additional one million square feet of absorption. Steady leasing activity over the previous year helped move vacancy rates downward and continues to increase market rates.