Tag Archives: biltmore commerce center


$165M for LPC-Phoenix in 60 days

Office investment and management expert Lincoln Property Company (LPC) and funds managed by Oaktree Capital Management, L.P. (Oaktree) have completed the $58 million purchase of Biltmore Commerce Center, a Class A, institutional-quality office building located in the heart of Phoenix’s coveted Camelback Corridor.

The acquisition represents LPC’s second transaction in a partnership with Oaktree that has generated $102 million in metro Phoenix deal activity in a 60-day timeframe. These deals include the $58 million Biltmore Commerce Center acquisition and the $42.3 million, mid-February disposition of Camelback Square, a 174,917-square-foot, Class A office asset in Old Town Scottsdale. It also increases LPC’s Phoenix investment activity to more than $165 million in the last 60 days.

Located at 3200 E. Camelback Rd., on the northeast corner of Camelback Road and 32nd Street in Phoenix’s prominent Camelback Corridor, Biltmore Commerce Center is known for its copper metallic exterior and highly visible, street-facing water feature. The project totals three stories and 259,000 square feet, with efficient floorplates, ample above- and below-ground parking, and an 11,000-square-foot, newly remodeled three-story atrium running through the interior first floor.

The property is currently 93 percent leased to a diversified group of established tenants including HDR Engineering, Lee & Associates, United Way, Greystar, North American Title Company and Miller Russell & Associates.

“Phoenix has the lifestyle, the labor and the commercial real estate to generate upside value, drive demand and respond to tenant needs at almost any point of the real estate cycle,” said Lincoln Property Company’s Executive Vice President David Krumwiede, who directed the Biltmore Commerce Center investment purchase. “It’s an exciting dynamic to work in, particularly when you have a team that can see potential at any given point in the cycle, and use their investment, development and management skills to build on that potential. It leads to a lot of opportunity in many venues, including this latest, great portfolio addition.”

“One of the many strengths of Biltmore Commerce Center is the subterranean parking, which provides quick and direct access to all tenant floors via two separate elevator banks,” said Mark Jacobs, Managing Director with Oaktree Capital Management. “Tenants can go from their car to their office in less than 60 seconds, compared to five or 10 minutes for most buildings within the submarket. In addition, the location offers great visibility while providing quick and easy access without the high traffic congestion that other projects often experience.”

Additional project renovations and features include remodeled corridors and lobbies, upgraded landscaping and the new street-facing water feature. The property has earned an average 94-point Energy Star rating over the past six years. In 2012, it was named The Outstanding Building of the Year (TOBY) by the Building Owners and Managers Association (BOMA).

“The atrium has always been a unique element of the project, but has become even more valuable following a recent renovation that transformed it into a modern, collaborative space,” said Lincoln Property Company’s Vice President Amr Ceran. “The new atrium has stylish seating areas, a café and community tables, docking stations and water features. Its inviting character provides the opportunity for clients and team members to meet, for tenants to hold events, and an area where employees can relax. It’s one of the nicest spaces of its kind in Phoenix.”

Biltmore Commerce Center sits across the street from two retail projects with numerous dining, shopping and banking options, including Central Bistro, Wells Fargo, Bank of America, Mexx 32, Tarbell’s, Tommy V’s Osteria and Pizzeria, Tomaso’s and Hava Java Café. It is within one mile of the upscale, 600,000-square-foot Biltmore Fashion Park and the Arizona Biltmore Hotel and golf resort.

“This makes for a commanding asset that, with smart management, will only continue to grow in value and prestige – both for the ownership team and the tenants who lease here,” said Krumwiede.

Cushman & Wakefield’s Chris Toci, Chad Littell, Jerry Noble, Pat Devine and Greg Mayer represented the property seller, a venture between DPC Development Company and Bridge Investment Group. LPC Director of Management Services Alisa Timm will direct the project’s property management strategy.

According to Cushman & Wakefield data, the Camelback Corridor submarket posted 358,368 square feet of leasing activity in 2014, with projects in the area experiencing record high lease rates and, in the case of the Camelback Corridor, sustaining double-digit rent growth.

Biltmore Commerce Center, WEB

Renovations complete at Biltmore Commerce Center

DPC Development announced the completion of the interior and exterior renovation of Biltmore Commerce Center, a 260,000-square-foot, Class A office building at 3200 E. Camelback Rd.

Built in 1985, the three-story building was purchased in August 2013 by Colorado-based DPC Development in partnership with Bridge Partners of Salt Lake City. Biltmore Commerce Center was 74 percent occupied at closing and is now 88 percent leased.

Valley of the Sun United Way was DPC’s first tenant, leasing ±32,780 RSF on the third floor. Senior Directors Jerry Noble, Patrick Devine and Greg Mayer of Cushman & Wakefield’s Office Properties group represent DPC Development of Colorado.

“The renovation of Biltmore Commerce Center looks beautiful, while meeting the needs of today’s office users, who want places to get together outside of their office walls,” Devine said.

A tenant-focused space, the expansive atrium can be utilized for work and after-work events. Modern finishes and community-style seating and tables have been provided to promote individual collaborative meetings, or comfortable small gatherings, utilizing the space throughout the day. Tables are tech-friendly and have built-in outlets that double as charging stations for laptops and phones.

The focal point of the building is the atrium’s 20-foot water wall and surrounding reflecting pools, along with a fountain on the corner of Camelback and 32nd St. Topping it off is the new landscaping, which includes prominent palm trees at the building’s entrance and new vegetation throughout.

“We saw a beautiful gem with this building sitting prominently in the Camelback Corridor, with a vision to provide work space that worked very well within the four walls, and an outside-inside space providing a comfortable work space for businesses throughout the year,”  said Chris King, President of DPC. “What we have accomplished exceeds all expectations.”

Upgrades to the exterior include new signage and an illuminated water feature that faces the intersection of Camelback and 32nd that will be prove to be a landmark feature on the Camelback Corridor.

Biltmore Commerce Center Lobby, Cush Wake-cut

Cushman & Wakefield To Handle Leasing of Biltmore Commerce Center

Cushman & Wakefield of Arizona, Inc. has been selected to handle leasing of Biltmore Commerce Center, a Class-A office property located at 3200 E. Camelback Rd.

The property, which was recently purchased by DPC Development Company of Denver, will undergo a significant modernization and re-positioning in the Camelback Corridor.

The mid-rise office building, which contains approximately 258,348 SF of space, was constructed in the mid-1980s. The mid-rise building is situated on approximately 7.53 acres of land that includes a six-level parking structure. Anchor tenants at the property include HDR, North American Title and Accenture.

DPC Development Company is a value-add investor that is known for presenting their buildings in a first class manner and for attracting some of the most prestigious tenants. The company has owned other properties in Arizona and will soon embark on upgrading this asset.

Biltmore Commerce Center’s interior is designed around a sizable atrium space with a large water feature. “The owner has hired Oz Architecture, a very dynamic and creative firm based in Denver, to create a tenant-focused interior that addresses the needs and desires of today’s office users,” says Jerry Noble, senior director with Cushman & Wakefield. “The new ground floor will feature abundant, modern seating areas and Wifi access for meetings and individual work. A new, re-designed water feature and interior landscaping will be included in the design. The owner also is considering the addition of a coffee or restaurant user on the ground floor. This owner is committed to more than a beautification effort and is dedicated to creating a business environment that meets the current desires of tenants and their employees.”

DPC Development Company also has undertaken a re-landscaping effort on the exterior at the corner of 32nd Street and Camelback Road. Simpler plantings and extensive lighting are being installed to improve the curb appeal of the building during both day and night.

“We were proud to acquire this signature asset on the Camelback Corridor,” said Justin Lutgen of DPC Development. “We have been looking for more opportunities in the Arizona marketplace and this asset provides great upside potential. Biltmore Commerce Center’s phenomenal location and 70 percent occupancy offers us the ability to improve the value of the property and lease the remaining space as the market improves.” Biltmore Commerce Center is one of the few buildings in the Camelback Corridor that offers 45,000+ SF of contiguous space for a large user.

Jerry Noble, Pat Devine and Greg Mayer of Cushman & Wakefield will serve as exclusive leasing agents for Biltmore Commerce Center.