Author Archives: AZRE

AZRE

About AZRE

Pulling together the multiple facets of the commercial real estate industry in Arizona, AZRE: Arizona Commercial Real Estate Magazine reaches out to the largest local and national commercial real estate audience within the Grand Canyon State and beyond. AZRE covers up-to-date happenings within commercial development, brokerage, construction, investment, finance, architecture, property management, real estate law and more as it relates to Arizona. Additionally, AZRE is an active voice within the commercial industry, partnering with such organizations as NAIOP, ABA, ICSC AZ, AIA AZ and Valley Partnership.

Beau, Sperry, WEB

Beau Flahart Joins Sperry Van Ness

Sperry Van Ness, LLC announced the addition of Beau Flahart as an associate advisor on the leasing and sale of retail properties. Flahart has teamed with seasoned veterans Rommie Mojahed and Mary Ridberg, directors of leasing. The team focuses on multiple areas of commercial real estate including retail leasing and investment sales. Mojahed and Ridberg represent notable tenants such as Firehouse Subs, Dairy Queen, Blue 32 and Potato Barn.

Before real estate, Flahart helped develop and grow Flahart Brothers Companies Inc. (FBC), a small building automations company. He began his career in real estate as a residential agent assisting clients with the acquisitions and dispositions of investment homes.

Flahart attended Mesa Community College and Chandler Gilbert Community College before attending Arizona School of Real Estate and Business to obtain his Arizona real estate salesperson license in 2013. He is an active member of SEVRAR.

Bill Petsas, WEB

EastGroup Properties’ Bill Petsas Receives NAIOP Award

Bill Petsas, senior vice president at EastGroup Properties, received the Lifetime Achievement Award at the 2014 Best of NAIOP event held at the Arizona Biltmore.

Prior to joining EastGroup in 2000, Petsas was a VP with Prologis where he forged a career in the development, acquisition, leasing and management of industrial real estate. At EastGroup, Petsas oversees 34MSF of industrial space with a total market capitalization in excess of $2.8B.
The Lifetime Achievement Award is presented by the Arizona Chapter Board of Directors to an exemplary individual who has made a significant and positive impact on the office and industrial commercial real estate market in Arizona over a period of no less than 15 years.

It was also a big night for Ryan Companies US, Inc. and Marina Heights – Ryan’s $750M, 2MSF development in Tempe.  Marina Heights won the prestigious Transaction of the Year and Talk of the Town awards.  Ryan Companies was named Owner/Developer of the Year, Firm of the Year, and General Contractor of the Year. Ryan is the owner/co-developer and general contractor for Marina Heights. Sunbelt Holdings is the other co-developer and The DAVIS Experience is the project architect.

Winning top broker awards were Jim Wilson, Cushman & Wakefield of Arizona, Industrial Broker of the Year; Tom Adelson, Jim Fijan, Jerry Roberts and Corey Hawley, CBRE, Office Brokers of the Year; and Mindy Korth, Colliers International, Investment Broker of the Year.

Economic Impact Project of the Year went to Able Engineering – Phoenix-Mesa Gateway Airport. JLL was named Brokerage House of the Year.

The event, organized by NAIOP Arizona, was attended by 900 commercial real estate professionals.

Camelback Arboleda

JLL Completes $24.9M Sale of Camelback Arboleda

Capital Markets experts in the Phoenix office of JLL have completed the $24.9M sale of Camelback Arboleda, a 178,792 SF, multi-tenant office building located at 16th Street and Camelback Road, in the heart of Phoenix’s prestigious Camelback Corridor.

JLL Senior Managing Director Dennis Desmond and JLL Senior Vice President Brian Ackerman represented the property seller, Camelback 1661, LLC. The property buyer is Merced Restart Phoenix Investors I, LLC.
This is the second time in two years that JLL has brokered a Camelback Arboleda sale—an indication, JLL says, of the market’s ability to deliver upside potential for strategic buyers.

“Investor interest in the Phoenix office market has increased dramatically since 2011-2012,” said Desmond. “Our client recognized the opportunity in this trend, and significantly improved the appearance of Camelback Arboleda and the quality of its rent roll to take advantage of improved investor appetite.”

“The property also has attracted an increasing amount of medical tenants seeking a quality location in a tightening market, creating another stabilizing factor in the positioning of this asset,” added Ackerman.
Camelback Arboleda’s leasing team, Chris Latvaaho and Michael Crystal of Cushman & Wakefield, assisted with the transaction and will retain the leasing assignment for the new owner.

According to JLL’s Q1 2014 Phoenix Office Report, rental rates in the Camelback Corridor submarket have grown significantly in the past two years, from an average $23.77 per square foot in early 2012 to an average $25.12 per square foot today. “The new Camelback Arboleda building owners believe these rental rates will continue to grow, as do we,” said Desmond.

1410W10th, WEB

Banner Health Relocates Howard S. Gray School to Tempe

Cassidy Turley announced that it represented building owner Quach, LLC, in its lease of 15,215 SF to an affiliate of Phoenix-based Banner Health, an Arizona non-profit corporation, at 1410 W. 10th Pl. in Tempe, Ariz.
Marc Tuite, Scott Baumgarten, Josh Wyss and Bruce Calfee with Cassidy Turley represented Tempe-based Quach, LLC, while Vicki Robinson of JLL represented Banner Health’s Howard S. Gray School.
“The relocation of Banner Health’s Howard S. Gray School is a great tenant for the building, previously renovated for educational use” said Mr. Baumgarten. “The school will have a positive impact on the community of Tempe as well.”

The Howard S. Gray School is a nationally accredited private school that offers a smaller class size, experienced faculty and individualized curriculum to help students with emotional or learning challenges reach their academic potential.

Built in 1979, the former Collins College School is a 15,215 square foot office building on 1.02 acres. The project had an office/classroom build-out and is centrally located in the east valley with access to Interstate 10, the Loop 202 Freeway, U.S. Highway 60, State Route 143, the new Loop 202 Freeway and Sky Harbor International Airport. The property is currently 100% leased.

Friendship House, WEB

Sundt Construction breaks ground on Friendship House at Royal Oaks

Sundt Construction has broken ground on the Friendship House at Royal Oaks Lifecare Retirement Community in Sun City, Ariz. The $13.6M project is a two-story memory care facility designed to provide lifestyle-focused accommodations for Royal Oaks residents with varying levels of cognitive needs. This is Sundt’s sixth project for Royal Oaks, speaking to the longstanding relationship between the senior-living community and the contractor.

The 53KSF facility, located near the center of the 38-acre community, will provide memory care in a residential setting, moving away from the skilled-care model that has been the norm at Royal Oaks and many other retirement communities. This new design concept allows for more efficient staffing and flexibility in a comfortable setting that stresses the individualized needs of residents. Personalization is achieved through four “neighborhoods” of fourteen residents each that have distinct interior design themes and create smaller scale living environments.

Since 2000, Sundt has been the general contractor for numerous projects on the Royal Oaks campus, including the construction of new garden homes, an assisted living and life enrichment center, dining and wellness venues and a two-level parking structure. Sundt also renovated the Health Care Center.

“We have a strong 12-year relationship with the Royal Oaks team and enjoy working with them on these new projects to enhance the lifestyle experiences for the community’s residents,” said Sundt Project Director Kurt Wadlington. “This facility, with its new design, will help Royal Oaks continue their commitment to deliver the best care possible for its residents with memory care needs.”

The architect for Friendship House is Todd & Associates with interior design services by Thoma-Holec Design, both from the Phoenix area. Construction is scheduled to be completed in spring 2015.

nicole, small giants, web

Nicole Kadyszewski joins Small Giants

Nicole Kadyszewski has joined the Small Giants team as director of operations and recruiting, focusing on organizational management, process improvement and talent placement for marketing and business development professionals. With eight years of field experience in general contracting and real estate development, Kadyszewski is applying her project manager skills to orchestrate the team’s growing workload and operations.

Her technical understanding of the industry ensures all projects are completed with the highest level of value to the client.  Additionally, Kadyszewski leads Small Giants recruiting, placing marketing and business development candidates throughout the commercial real estate, and A/E/C industry.

Kadyszewski graduated from the University of Nebraska with a degree in Construction Management. She is a LEED Green Associate and recently completed the Arizona Builders’ Alliance Leadership Development Forum, which strives to educate construction professions and cultivate leadership skills. She is also supporter of Advancing Women in Construction and Habitat for Humanity.

7410 S. Roosevelt St., WEB

Consumer Cellular dials up 85,245 SF, 8-year back office lease

Portland, Ore., based Consumer Cellular leased 85,245 SF of back office space at Tempe Commerce Park, Bldg. F, 7410 S. Roosevelt St. in Tempe, Ariz. The 8-year lease begins this spring and comprises the entire building footprint.

Lee & Associates Principal Rick Lee represented the Scottsdalebased ownership of Walton-EH Tempe Commerce JV VI, LLC (Everest Holdings). Mike Nye of Capacity Commercial of Portland represented the tenant, Consumer Cellular.

Consumer Cellular is one of the largest no-contract cellular phone provider in the U.S. Its business model is geared to consumers who prefer a low cost, no commitment phone service. The company consistently ranks high in consumer surveys including a top company to work and
most innovative along with accolades from Careerbuilder, Inc. Magazine and Ernst & Young.

The Class-B, flex building offers 5:1,000 parking and is situated on the 6.5 AC back office/distribution Tempe Commerce Park. The property offers convenient access to the I-10 Freeway and is a short drive to Phoenix Sky Harbor International Airport.

Shields_Andrina, WEB

Andrina Shields Joins Transwestern

Transwestern announced Andrina Shields has joined its Phoenix office as vice president of multifamily investment services. Shields is an expert in multifamily operations and revitalizing troubled assets. The co-founder of Heads on Beds, a consulting group that advises multifamily property owners on ways to add value to their holdings, Shields brings more than 25 years of industry experience to Transwestern where she will serve as vice president in the multifamily investment services group.

“Andrina gives us a level of expertise that simply doesn’t exist at other Phoenix-area brokerages that deal with multifamily communities,” said Transwestern Vice President Jack Hannum. “She fortifies the authenticity and substance of our practice. And with a background in both operations and management, she can advise asset owners, investors and capital sources on finding innovative solutions for each opportunity and transaction.”

Shields spent five years with Alliance Residential Company as a regional manager, where she oversaw the daily operations of 3,500 units under multiple owners. Her exceptional service earned her the firm’s Commitment to Excellence Award for three straight years. She later served as a regional manager for Gray Clow Residential Development Group and was a key member in creating the Suite Living apartment concept at Grigio Tempe Town Lake. While at Heads on Beds, her clients included Prime Group, Heers Management Company, Arizona Multi-Housing Association and Pacific Property. Shields later joined Heers Management as a vice president.

“I’m delighted to join Transwestern,” said Shields. “The firm has a culture that encourages creative thinking and insightful analysis. When you combine this with its incredibly talented team of brokers, Transwestern’s multifamily clients have the best opportunities for growth.”

 

2700 W. Frye Rd., Chandler

Colliers International Completes $43.1M Sale of 183KSF Office in Chandler Price Corridor

Colliers International in Greater Phoenix recently completed the sale of a 183KSF, Class-A office building in Chandler for $43.1M, or $235.50 a square foot.

W. P. Carey Inc., a global net-lease REIT based in New York City, purchased the building at 2700 W. Frye Rd. in Chandler from Regent Properties of Los Angeles.

Neil Glassmoyer, senior vice president; Tivon Moffitt, vice president; and Peter Bauman, senior associate; all of Colliers International in Greater Phoenix, served as brokers for the buyer and seller.

“The market fundamentals in Chandler’s Price Road Corridor are very strong and the area is poised for continued expansion. The building’s location in the heart of Chandler’s Price Corridor helped attract W. P. Carey,” Moffitt said.

The Chandler submarket features one of the lowest office vacancy rates in Metro Phoenix, as tenants are drawn to the area due to the highly educated workforce, according to Colliers International.

“Price Corridor is Chandler’s premier employment corridor, and continues to attract companies interested in quality and a sense of place,” said Chandler Mayor Jay Tibshraeny. “It is a central hub for the workforce, infrastructure and amenities that the current marketplace demands.”

W. P. Carey Managing Director and Co-Head of Global Investments, Gino Sabatini, said, “The combination of the desirable location, credit tenant and quality asset made the acquisition an ideal addition to our portfolio. Together with its criticality to the operations of QBE the property meets all our investment criteria and supports our strategy of providing secure, long-term cash flow to our investors.”

QBE Insurance, one of the 20 largest insurance and reinsurance companies in the world, is the building’s only tenant on a long-term lease. This location is QBE’s second largest office building in the country. Overall, QBE is located in 43 countries.

“This acquisition was ideal for W. P. Carey given that the tenant, QBE Insurance, is a strong and stable investment grade tenant,” Bauman added.

Regent Properties completed the building’s construction after purchasing the property in 2011 and then fully leased the building to QBE shortly thereafter.

“Regent Properties had a dynamic vision for this property. They added significant value by completing this class A office asset,” according to Glassmoyer.

“The success of this project is due in large part to the cooperation and aid from the City of Chandler’s economic team, QBE’s desire to be in Chandler and ultimately Neil and Tivon, and the entire Colliers’ team, for connecting Regent Properties with the W. P. Carey team.  This project is emblematic of our proven track record at stabilizing once troubled assets as well as our commitment and belief in the Phoenix market,” according to Eric Fleiss, president of Regent Properties.

Catalyst, WEB

Keyser Merges With Catalyst Commercial Group

Catalyst Commercial Group, a leading retail commercial real estate advisory firm exclusively serving the national, regional and local space needs of retail and restaurant tenants, announced today that they have entered into an agreement to merge with Keyser to create the largest, multi-platform tenant representation firm in Arizona.

“We are very excited to announce this merger between two powerhouses,” said Mike Leonard, co-founder and co-managing partner of Catalyst Commercial Group. “With Keyser’s cutting edge platform, deep commitment to exclusive tenant representation, exceptional growth trajectory and strong reputation in the marketplace, we saw the real ability to create significant synergies by joining forces to grow a best-in-class global tenant representation firm.”

The Catalyst team has represented some of the most prominent names in retailing including: Five Guys Burgers & Fries, Cold Stone Creamery, Papa Murphy’s Pizza, Jersey Mike’s Subs, Play It Again Sports, Plato’s Closet and the Joint Chiropractic.
“Keyser is the first organization we have encountered that shares the same commitment to service and a like-mindedness in our philosophies around corporate culture and how business should be conducted,” said Chris Ray, Catalyst’s other founder and managing partner. “This merger is about creating a broader, more robust platform for our clients, while taking a leadership role in a dynamic and disruptive organization committed to transforming the global commercial real estate brokerage industry through selfless service.”
The newly combined entity will operate under the Keyser brand, and anticipates hiring 20 to 25 additional team members over the next year or two to accommodate the increasing demand for their services. Mike and Chris will lead Keyser’s newly formed Retail Practice Group and will have a seat on Keyser’s Executive Advisory Committee. Their focus will be growing Keyser’s Retail Practice Group into the most dominant Retail Tenant Representation organization in the country.

Gainey Ranch Village, De Rito, WEB

De Rito Partners, Inc. Releases Recent Commercial Transactions

 

Dutch Bros. Coffee expanding to Surprise

Dutch Bros.

Dutch Bros.

Dutch Bros. Coffee is opening its first location in Surprise, Arizona just east of the southeast corner of Bell Road and Litchfield Road. De Rito Partners’ agents Brian Bridgman and Marty Olejarczyk represented Dutch Bros. in a ground lease of 23,762 square feet.

Middle Eastern market opening second Valley location

Ya Hala Middle Eastern Market is adding their second Valley location at the southwest corner of Bell Road and Cave Creek Road in Phoenix. Carl Jones Jr. and Gordon Heckaman of De Rito Partners represented the landlord in completing the deal for a 900-square-foot space.

DC Ranch Crossing adding two new tenants

The DC Ranch Crossing shopping center located at the southeast corner of Pima Road and Union Hills Drive in Scottsdale, Arizona will be adding two new tenants. Fleet Feet, a sports apparel store, and Roasti’s Pizza signed leases for 1,921 square feet and 3,484 square feet, respectively. John Palmieri and Paul Serafin of De Rito Partners represented the landlord in completing the two deals.

New tanning and massage outlet to open in North Phoenix

Greenway Village Shopping Center is adding a new tanning and massage outlet to the strip center located just east of the northeast corner of 32nd Street and Greenway Road in Phoenix. De Rito Partners agents Justin Rihs and Robert McKnight represented the landlord in completing the lease for 1,296 square feet.

Warner Village adding Jabz Boxing

Jabz Boxing Fitness for Women signed a lease to open their third Valley location, this one at Warner Village in Tempe, Arizona. The center is located at the northeast corner of Priest Drive and Warner Road. Gordon Heckaman and Trevor Clinch of De Rito Partners represented the landlord in completing the deal.

Fred Loya Insurance continues Valley expansion

Dobson Plaza located at the southwest corner of Dobson Road and Main Street in Mesa, Arizona will be adding a Fred Loya Insurance office. Brian Bridgman and Justin Rihs of De Rito Partners represented the landlord in completing the deal for a 1,533-square-foot space.

Home Smart Realty adding office in Fountain Hills

Christine Schroedel is opening a new Home Smart Realty office in Fountain Hills, Arizona at the northeast corner of Saguaro Boulevard and El Lago Boulevard. De Rito Partners’ agents Steve Bonnell and Roger Brevoort represented the landlord in completing the lease for 1,600 square feet.

Epic Thrift opening new Tempe location

Epic Thrift leased a 16,000-square-foot portion of a former grocery store at the southwest corner of McClintock Drive and Southern Avenue in Tempe, Arizona. Paul Serafin and Mike Kumelski of De Rito Partners represented the landlord in completing the deal.

Filiberto’s adding location in Goodyear

Filiberto’s Mexican Food signed a lease for a 1,950-square-foot drive-thru at Parkway Village in Goodyear, Arizona. De Rito Partners’ agents Trevor Clinch and Justin Rihs represented the landlord in completing the lease at the southwest corner of Estrella Parkway and Roosevelt Street.

Pet groomer opening first location

Furry Beginnings pet grooming boutique is set to open their first location this summer in Gilbert, Arizona. Gordon Heckaman of De Rito Partners represented the tenant in completing the deal for a 1,660-square-foot space at the southwest corner of Val Vista Drive and Williams Field Road.

West Valley Gaming opening at Rancho Mirage

West Valley Gaming completed a deal to open a 2,535-square-foot location at Rancho Mirage in El Mirage, Arizona. The center is located at the northeast corner of Dysart Road and Thunderbird Road. Bill Bones of De Rito Partners represented the landlord in completing the lease.

Luxe Salon relocating in Gilbert

Luxe Salon signed a lease to relocate to the San Tan Village Regional Center in Gilbert, Arizona. De Rito Partners’ agent Paul Serafin represented the tenant in completing the deal for a 4,470-square-foot space.

Starbucks adding new location in Peoria

Starbucks Coffee is set to open a new location in the former Jack in the Box across from Arrowhead Mall in Peoria, Arizona. The tenant signed a lease for 2,942 square feet just east of the southeast corner of 83rd Avenue and Bell Road. Paul Serafin of De Rito Partners represented the landlord in completing the deal.

Salon opening first location

My Salon Suites is opening their first location at the The Shops at Gainey Ranch in Scottsdale, Arizona. Steve Bonnell and John Palmieri of De Rito Partners represented the landlord in completing the deal for a 5,630-square-foot space at the center locates east of the northeast corner of Doubletree Ranch Road and Gainey Center Drive.

The Shops at Tatum Ranch adding a cigar bar

Mojitos Cigar Bar signed a lease to open a 2,830-square-foot location at The Shops at Tatum Ranch in Cave Creek, Arizona. De Rito Partners’ agent Bill Bones represented the landlord in completing the deal just west of the southwest corner of Tatum Boulevard and Cave Creek Road.

Speedie, WEB

Tucson-based LMT Engineering joins forces with Speedie & Associates, Inc.

Speedie & Associates, Inc. joined forces in Tucson, Ariz., with LMT Engineering. LMT is a firm that has specialized in geotechnical engineering, primarily in the Southern Arizona Market, for many years. LMT was headed by Lyle Tweet PE. who now joins Speedie as Regional Geotechnical Manager.  Prior to forming LMT approximately 10 years ago, Lyle had an outstanding career working for large established geotechnical firms within the state, culminating in his position as the Tucson Branch Manager for Terracon.   His long-standing reputation as a Geotechnical Engineer, particularly within the Tucson market – along with his widely-recognized abilities – will greatly strengthen Speedie & Associates Southern Arizona visibility.  

 

As Regional Geotechnical Manager for Speedie, Lyle’s primary role will be focused on developing new client relationships primarily in the Southern Arizona market – as well as providing geotechnical engineering leadership within the Tucson branch office.  Justin Manchester will continue to provide his excellent leadership as overall Tucson Branch Manager.        

 

Speedie & Associates is joined by another LMT associate, Ken Karaba RG. Ken joined LMT in 2008 as its Principal Geologist. Prior to that he was the Tucson Branch Manager for GRC Consultants, a full service geotechnical and environmental consulting firm headquartered in San Francisco.  Of his 35 years of experience in the fields of geotechnical engineering, CMT, and environmental consulting in the western US, the last 30 have been in Southern Arizona.  Similar to Lyle, Ken will bring both his outstanding local reputation and strong technical abilities in the geotechnical field to Speedie & Associates.  As a Geotechnical Project Manager working out of the Tucson office, Ken will be primarily providing Southern Arizona-based geotechnical and environmental support to the firm.

Cathy Teeter, WEB

Catharine Teeter joins CBRE as director of operations

CBRE has announced that Catharine Teeter has joined the firm as its Director of Operations for Arizona and the Intermountain Region. In this role she will partner with the firm’s market and regional leadership to develop and implement strategic priorities for operations.

”I am thrilled to welcome Cathy to the team. She is the perfect complement to our team of best-in-class professionals,” said Craig Henig, CBRE’s senior managing director and Arizona market leader. “Her years of experience coupled with deep market knowledge will make her a pivotal asset as we work to continue to provide unrivaled service to our clients. I’m looking forward to partnering with her as we develop and implement initiatives that will move us ever closer to our vision of making CBRE a world-class organization.”

Teeter comes to CBRE after more than 25 years with Cushman & Wakefield, where she most recently served as the senior operations manager for their offices in Arizona and Nevada. During that time, she gained considerable experience successfully running profitable operations while leveraging an effective administrative infrastructure that provided superior service to professionals in brokerage, asset services, project management and valuation advisory groups. Additionally, Teeter served on national committees for broker support and broker training programs and has worked with major clients including American Express, Symantec, Lucent, Citigroup, eBay and Prudential.

Teeter holds an MA degree in Organizational Management, a BA in business administration and a professional human resources (PHR) certification. She is an active member of the Society of Human Resources Management (SHRM) and NAIOP.

Greey Picket

Randall Martin Closes on Additional 23.5 Acres in Marana

Three years after purchasing the 805-acre residential master plan of Sanders Grove, Randy Bury, president of Randall Martin is partnering once again with Soundview Real Estate Partners to make investments in southern Arizona. The recent purchase includes four additional land parcels totaling 23.5 acres in Marana, Ariz. The all equity deal closed on Friday, March 28, for just over $1M.

All four parcels were previously owned and entitled by Meritage Homes. 17.5 acres of the 23.5-acre deal are located within the Sanders Grove master plan, which includes 2,500 lots located on Marana Road west of Interstate 10 in Pima County. The remaining six acres consist of three two-acre commercial corners adjacent to the Meritage master plan community in Rancho Marana, located near Tangerine Farms Road and Clark Farms Boulevard.  Will White of Land Advisors Organization was the broker on the transaction.

Greey Picket

Greey Picket

“It made sense to purchase the additional acreage within Sanders Grove. It is an ideal location for a shopping center for the community or the land can also be used for residential building,” explained Bury. “When we learned Meritage was also looking to sell the three commercial corners, we knew it would be a good investment.”

Randall Martin and Soundview also partnered on a $2.2M real estate investment in Las Vegas earlier this year. In February, they closed on Shadow Ranch, a residential community of 105 lots on 20 acres in North Las Vegas.  The property was purchased from an entity created by a joint venture between Rialto Capital and the FDIC.

Based in Scottsdale, Ariz., Randall Martin is a real estate investment firm that specializes in purchasing raw land for development and sale in the southwest.

CityScape, WEB

CityScape Phoenix Office Tower Receives ENERGY STAR Award

BOMA Phoenix this week named RED Development’s CityScape Phoenix office tower the winner of The Kilowatt Crackdown Award for the most improved ENERGY STAR benchmarked building above 500,000 square-feet in the Greater Phoenix area for 2013.

 

A highly regarded award, ENERGY STAR measures energy savings using the U.S. Environmental Protection Agency (EPA)’s standards and it is a voluntary program that helps businesses and individuals save money and protect the climate through superior energy efficiency.

 

Cityscape Phoenix won the award based on its EPA ENERGY STAR rating that improved from 81, which is considered above the national average, to 97 through the 2013 calendar year. A minimum score of 75 is required by EPA to be certified and a score of 81 placed CityScape above average for all US buildings certified. This previous certified score was achieved by RED’s design choices and selection of LEED compliant construction materials of the decisions made during the development phase of the project allowed for the enhanced operations. The score of 97 puts the CityScape Phoenix tower in the top three percentile of all buildings in the U.S.

 

RED made the decision to pursue a higher ENERGY STAR rating for the office tower for a variety of reasons including to lower operating costs, reduce greenhouse gas emissions, increase the asset’s value and to fulfil a higher standard of corporate environmental responsibility. Over the past few years, more of our office tenants require sustainable buildings and we are proud to be in the nation’s top percentile,” said Ron Roeske, general manager of CityScape Phoenix.

 

The work mainly consisted of evaluating all existing aspects of the building’s mechanical systems and verifying each piece of equipment meet the design intent. Upon completion of the mechanical audit the building control system was then evaluated and defined. After these systems were verified, mechanical and control system deficiencies were modified and corrected as required. These corrections were routinely physical repairs and adjustments to non-functioning hardware and mechanical equipment.

 

The process was a lengthy one and was performed with occupant comfort and feedback being a constant consideration. Our CityScape engineering team provided all of the services without the assistance of an outside firm, which was a notable accomplishment,” said Al O’Connor, Corporate Engineer, who led the ENERGY STAR improvement initiatives.

The final, and most productive, component of this work was system integration and optimization of the building automation system (BAS) with the mechanical equipment. Several information metrics including building use, lease requirements, utility trend and pulse report data, local temperature bin and operation history were evaluated. This information was then used to optimize building operations, through programming and schedules, to achieve optimal improvements in energy consumption.

 

Since 1992, EPA has worked with organizations to help them save money and reduce greenhouse gas emissions by making their buildings and plants more energy efficient. Every year, they’re saving more than $9 billion and preventing nearly 120 million metric tons of greenhouse gas emissions from entering the atmosphere.

Anthem Eastside Shops on the northwest corner of Anthem Way and Venture Drive.

Velocity Retail Group recent transactions

Below is a summary of Velocity Retail Group, LLC recently completed transactions.

Hut No. 8, a clothing retailer new to the Valley, will be opening its first location in Arizona at the SWC of Warner Road and Val Vista Road in Gilbert. Larry Miller, John Jackson, and Michael Clark of Velocity Retail Group negotiated a five-year lease of 3,428 square feet on behalf of the landlord, North American Development Group. The tenant was represented by Mark Camara of APE Realty. This is also the first location for the franchisee, which plans to open in July.

Velocity Retail Group, LLC announces that the first newly redesigned prototype for Popeye’s Louisiana Kitchen will be built at the southwest corner of Elliot Road and Priest Drive in Tempe, Arizona. Dave Cheatham, Michael Clark, and Nick Ault of Velocity Retail Group represented Popeye’s in the transaction. The landlord TPP JV Maricopa, LLC an entity controlled by Trigate Capital was represented by Clift Johnston of Cassidy Turley BRE. The new building will be 2,951 square feet and be located on a 23,000 square foot parcel fronting Elliot Road and is expected to open by the 4th quarter of this year.

Larry Miller and John Jackson of Velocity Retail Group represented European Wax Center in a 10-year lease of 1,681 square feet at Boardwalk at Anderson Springs located on West Ray Road in Chandler, Arizona. The landlord was represented by Shelby Tworek and Gabe Ortega or NAI Horizon. This is the 18th Valley location for the tenant, and is scheduled to open in August.

Larry Miller and John Jackson of Velocity Retail Group represented Anthem Eastside Shops on the northwest corner of Anthem Way and Venture Drive in Anthem, Arizona in the lease of a 9,145 square foot space to Dollar Tree. The tenant had long attempted to enter the Anthem market, but had been unable to secure quality real estate of sufficient size. The landlord, DPC Development Company, was able to relocate one of their restaurant tenants within the building to create a space for Dollar Tree. Kurt Kalocin of SRS represented the tenant in the 7-year lease. The new store is set to open in April.

Chip Thor of Velocity Retail Group represented V’s Barber Shop in a 5-year lease for 950 square feet at CityScape at First Street and Washington in downtown Phoenix, AZ. The landlord was represented by Mike Kallner of Red Development. The new shop is expected to open this month.

LodgeDevelopmentSite, WEB

Deco Acquisitions purchases Lodge Development site in Scottsdale

Cassidy Turley announced the sale of a ±0.72 acres/±31,427 SF development site at 4422 N. 75th St. in Scottsdale, Ariz. Deco Acquisitions, LLC (dba, Deco Communities) purchased the property for $4.05M ($128.87 per square foot) from Hewson 75th St., LLC. Cassidy Turley Executive Managing Directors David Fogler and Steven Nicoluzakis and Managing Director Don Arones negotiated the transaction on behalf of the seller.

“Downtown Scottsdale continues to attract residents that are looking for a living environment that offers convenience and walkability to their jobs, to entertainment venues and to some of the Valley’s best amenities,” said Mr. Nicoluzakis. “This development site was perfectly situated to meet all of those demands, and was zoned to allow for the new owners to come in and build luxury residential units.”

Scottsdale-based Deco Communities announced plans for Envy, a 90-unit, 8-story luxury condominium tower on the property. They will be developing the project in conjunction with Minneapolis-based Castlelake and California-based Isles Ranch Partners.

Pollack Reality TV, WEB

Michael Pollack to Make National TV Debut in ‘Barry’d Treasure’

It’s no secret, Valley real estate entrepreneur Michael Pollack, of Pollack Investments loves collecting rare memorabilia.  From his sought after Frank Polk Slot Machine collection to owning the largest 3D Advertising Museum in the World to a beautiful collection of rare Baranger displays, Pollack owns some of the biggest and most sought after collections around the globe.

Over the years many have stepped in to help the Valley real estate mogul track down his next great find. So it was no surprise that Pollack is showcasing his rarities with the help of Barry Weiss and the new series “Barry’d Treasure,” to help find his next beloved antiques.

Watch “Barry’d Treasure” on A&E April 15th, at 10PM/9C as the Valley’s favorite collector teams up with Weiss on the episode entitled “The Unbearable Enlightenment of Barry” to find Pollack’s next great treasure.

“This was a lot of fun, not only to be working with Barry, but for him to help me find another great addition for my collection,” said Pollack.  “I have been collecting antiques since I was a little boy and anyone who knows me will tell you, finding these little gems and restoring them is a full-time job and I’m just glad Barry could help me.”

Antonya Williams, WEB

McCarthy Building Companies promotes Antonya Williams

McCarthy Building Companies, Inc., recently promoted Antonya Williams to business development manager for the Southwest division. Her primary focus will be on municipal, community college and K-12 projects.

In this position, Williams will play a key role, providing a decade of industry expertise with a diverse, well-rounded background in project and design management. Prior to this role, she spent eight years working for McCarthy’s Northern Pacific division where she was involved with a wide array of construction teams, ranging from education and healthcare facilities to detention centers.

“Antonya has a passion for the construction industry and remains active in leadership organizations dedicated to encouraging women to pursue careers in our field,” said Bo Calbert, president of McCarthy Southwest. “The relationships she’s built through her eight years with the company as well as her professional volunteer activities will serve her well in her new role at McCarthy.”

Williams earned her bachelor’s degree in construction management from California State University, Chico. She is a member of the Urban Land Institute, National Association of Women in Construction, Big Brothers Big Sisters, and ACE Mentoring.

The Vue at Park West

Buchanan Street Partners invests $43.25M in Phoenix properties

Buchanan Street Partners announced two acquisitions in the greater Phoenix area, including Vue Park West, a 260-unit luxury apartment complex in Peoria, Ariz., and the 106,077 SF Mesa Corporate Center office complex in Mesa, Ariz. The acquisitions reflect Buchanan Street’s continued investment strategy in the Phoenix area, a market where the Newport Beach, Calif.-based investor has been an active buyer of value-add commercial and multifamily investments.

Buchanan Street, in partnership with Denver-based Baron Properties, paid $30 million for the Vue Park West (formerly known as Alta Park West), or approximately $115,300 per unit. Buchanan was attracted to the project’s current cash flow and the prospect for rent growth in the West Valley market. Completed by Wood Partners in 2008, the community has enjoyed an occupancy rate of more than 90% since 2010, outperforming submarket occupancy over the same period.

Buchanan Street also recognized the value of Vue Park West’s location within walking distance of numerous retail amenities at the adjacent Park West lifestyle center, and the property’s convenient access to the Agua Fria (101) Freeway at W. Northern Avenue. Baron will make modest renovations that will allow the partnership to maximize the property’s potential.

“Vue Park West is an excellent example of the caliber of core plus and value-add investments that we are making in select Western markets,” said Bob Dougherty, partner at Buchanan Street Partners. Buchanan Street has targeted California, Arizona, Nevada and Texas for investments in the $10M to $100M range.

Buchanan Street has also acquired Mesa Corporate Center, a two-story Class A office building, for $13.2 million from seller Parkway Properties. The project, located at 1001 W. Southern Avenue in Mesa, was 89% leased at the time of the sale, with a credit tenant roster that included Allstate Corporation and Carrington College (DeVry).

Buchanan Street acquired the property at a 40% discount to estimated replacement cost and  was attracted to the project’s current cash flow and opportunity to participate in improving fundamentals as leases expire.

“Mesa Corporate Center offers a first-class office environment in a location that complements Buchanan’s existing Phoenix-area portfolio, allowing the firm to broaden its offerings to existing and potential tenants and achieve further economies of scale in the Phoenix market,” said Brian Payne, vice president at Buchanan Street Partners.

Thornydale

CBRE to auction 6 acres with entitlements in Tucson

Douglas Johnson, Managing Director, CBRE Auction Services, today announced that + 5.95 acres with entitlements will be sold at online auction. The property is located on Thornydale Road, just north of Ina Road in Tucson, AZ. The online auction will be held on Tuesday, April 29th, 2014. The opening bid is $350,000.

 

This is a unique investment opportunity in the Tucson, AZ metropolitan area which is just about shovel ready.” said Mr. Johnson. The site overlooks the intersection of Ina Road and Thornydale Road in unincorporated Pima County, Arizona. Thornydale is the main North/South arterial road that links traffic from the Northwest corridor to Central Tucson. The site is easily accessible to retail stores and restaurants located nearby, including two power centers and two neighborhood centers. The land is zoned TR, Transitional, by Pima County.

 

The property’s elevation provides unequaled views of the Tucson Valley. Frontage along Ina Road provides excellent visibility for a variety of uses that may include office, medical, and multi-family residential.” added Patrick Connell, Managing Director, CBRE Auction Services.

 

The development plans yield approximately 50,702 square feet of office space comprised of five separate buildings. Approximately 1.19 acres of natural desert open space will divide the property into two distinct sections, allowing for phasing.

 

The online auction will open with bidding at $350,000. An initial earnest money deposit of $25,000 is required in order to participate. The online auction will be held on April 29th, 2014. Property inspections will be held on April 9th and April 16th by appointment only. CBRE representatives will be available to answer questions about the auction process, procedures, as well as the property. Detailed property information will also be available for review including the purchase and sale agreement. For this, and other information about the auction, including the terms and conditions of the auction and a brochure, prospective bidders should visit www.cbre.com/auctionservices, or call CBRE Auction Services at 800-815-1038.

av air front-S2, WEB

Av-Air breaks ground on 162,500 SF, multi-building project totaling $15M

Arizona-based Av-Air, Inc. has hired Sun State Builders to construct its new two-building, 162,500+ SF headquarters for a total project cost of nearly $15M.

The 6.17-acre parcel at 6877 W. Frye Rd., Chandler, Ariz., fronts the Loop 202 Freeway in Santan Technology Park. Av-Air purchased the property and broke ground soon after.

Andy Ogan, Principal with Lee & Associates Arizona negotiated the transaction for the land and build-to-suit project. Architectural services were provided by Wes Balmer with Balmer Architectural Group. Tom Altieri of MidFirst Bank provided the financing with an SBA 504 loan. According to Altieri, it was one of the largest SBA loans done in Phoenix-area history.

The new buildings will consist of a 92,500 SF building with 20,000 SF of office space and a 70,000 SF building storage/distribution building. Both buildings will feature metal deck, steel trusses, 30’ clear height, grade level and truck well loading doors. The project is estimated to be completed in the fall of 2014.

Av-Air, a provider of aftermarket aviation parts and services, will vacate 67,000 SF it currently owns & occupies in its Chandler headquarters at 33 South 56th Street and 1510 West Bell De Mar Drive in Tempe and consolidate operations in the new facility. Av-Air will be offering the 67,000 SF in both facilities for lease, Ogan will be the listing broker for both properties.

Molly Ryan Carson, WEB

NAIOP-AZ Elects Molly Carson to Board of Directors

The Arizona chapter of NAIOP, the commercial real estate voice for the state, elected Molly Ryan Carson, Vice President of Development with the Ryan Cos., to the 2014 Board of Directors this month.

 

Carson joins the board leadership of NAIOP Arizona Chapter with a three-year term, after having been an active NAIOP member for more than 5 years.

 

Chairman Megan Creecy-Herman of Liberty Property Trust said, “Our Board of Directors is made up of a very esteemed group of commercial real estate leaders from throughout the Valley and we are proud to welcome Molly as the newest member of our leadership team.”

 

With over a decade of experience at Ryan as a developer, Carson offers unique insight into the varied aspects of real estate development. As Vice President of Development, she is responsible for site selection and acquisition, municipal use permits and approvals, design and construction coordination, financial packaging and lease or sale negotiation at Ryan Cos.

 

Carson brings extensive leadership with other local associations and philanthropic organizations to the existing 18-member board.

Agave Center

Cushman & Wakefield Sell Agave Center for $29.6M

Cushman & Wakefield of Arizona, Inc. has negotiated the $29,593,000 sale of the distinctive five-building office/flex development project known as Agave Center.

Agave Business Center (55,221 rentable square feet), located at 8945 S. Harl Ave., is 71 percent occupied and enjoys one of the largest remaining blocks of potential “creative” space along the I-10 corridor.

Agave Corporate Center, located at 1711 W. Greentree Dr., is a two-story professional office building containing 86,115 rentable square feet that is 98 percent occupied.  Agave Executive Center contains 78,405 RSF in three buildings, located at 17211, 1725 and 1729 W. Greentree Dr. The three buildings are 95 percent occupied.

Collectively, the five-building project was developed in 2000, accounts for 219,741 RSF, and is more than 90 percent occupied.

An entity owned by certain funds managed by Westport Capital Partners LLC, sold the project to Dornin Investment Group of Laguna Beach, Calif.

“Westport Capital Partners LLC did an exceptional job of executing its business plan several years ahead of schedule and Dornin Investment Group has been eyeing the Phoenix market for office acquisitions and was waiting for the right opportunity to enter the market,” said Chris Toci of Cushman & Wakefield.

Toci, Chad Littell, and Ryan Bartos of Cushman & Wakefield represented the seller in the transaction.