Cassidy Turley announced the sale of Mesa Southern Suites, a 23,400 SF industrial project at 330-340 East Southern Avenue in Mesa, Ariz.
Phoenix-based company Mesa Drive & Southern Commercial Suites, LLC purchased the property for $1.14M ($49.56/psf) from REO Asset Manager, Thomas Hosier of Stearns Bank National Association (Saint Cloud, MN). Cassidy Turley Senior Managing Directors Paul Boyle and Rick Danis negotiated the transaction on behalf of the buyer, while Mark Phillips of Newmark Grubb Levy Strange Beffort represented the seller.
“With unit sizes as small as 500 SF, the Mesa Southern Suites allows smaller users the opportunity to enjoy major street exposure along two busy streets and the ability to expand into larger spaces as their business grows” Mr. Boyle said.
Built in 1982, Mesa Southern Suites consists of five multi-tenant industrial/commercial buildings totaling ±23,400 SF wrapping around the northwest corner of Southern Avenue and Mesa Drive. The property is ideal for small industrial/service center users as well as tenants with incidental retail uses. Mesa Southern Suites is accessible from Southern Avenue, Mesa Drive, and Wilbur Avenue. It is located less than one mile from U.S. Highway 60, allowing convenient access to all parts of the Valley. The property was 38% occupied at the time of sale. The new owner plans to add capital improvement upgrades to the property and stabilize the asset.
Cassidy Turley announced the sale of One Agave Center, a 20,818 SF, Class-A office project at 8950 S. 52nd St. in Phoenix. A company formed by Houston-based Griffin Partners purchased the property for $9.8M ($128.06/psf) from locally based One Agave LLC. Cassidy Turley Executive Managing Director Eric Wichterman, Senior Vice President Mike Coover, Executive Managing Director Mike Beall and Vice President Chris Walker negotiated the transaction on behalf of the buyer and seller.
“With the upgrades planned by its new ownership, One Agave will easily maintain its status as the only true Class A office building in the immediate trade area,” Mr. Wichterman said.
Built in 2001, Agave Center is a four-story, multi-tenant office building. The property was 60% occupied at the time of sale.
Cassidy Turley announced the completed the sale of Shea Scottsdale to an entity formed by Jerry Simms for $44.5M. Shea Scottsdale, 10653 N. Scottsdale Road, is a 160,228 SF retail center anchored by Safeway and CVS Pharmacy. The seller was Karlin Real Estate, based in Los Angeles.
Executive Managing Directors Michael Hackett and Ryan Schubert with Cassidy Turley Capital Markets Group represented Karlin Real Estate. Marty DeRito with DeRito Partners assisted the buyer.
“Shea Scottsdale is one of the premier neighborhood centers in the Southwest,” Mr. Hackett said. “The buyer saw tremendous value in the stability and long term growth available in purchasing an asset of this quality.”
The center was built in 1994 and was 95% leased at the time of sale. The transaction included all in-line space as well as additional pads with freestanding structures, including Wells Fargo, McDonalds, MidFirst Bank, Jason’s Deli and Arby’s.
Mr. Hackett and Mr. Schubert sold Shea Scottsdale and an adjacent 117,025 SF retail center Shea Scottsdale East, 7366 E. Shea Boulevard, to Karlin Real Estate in October 2011 for $50.32M. At that time the two centers had a combined overall occupancy of 85%. Karlin Real Estate has retained ownership of Shea Scottsdale East.
Cassidy Turley announced that Los Angeles-based FS Tatum Plaza, LLC (Westwood Financial) acquired Tatum Plaza, a 29,460 SF neighborhood retail center for $8M ($270 PSF). The seller was Cave Creek and Tatum, LLC (Park West Partners). Executive Managing Directors Ryan Schubert and Michael Hackett with Cassidy Turley’s Retail Capital Markets Group negotiated the sale transaction.
Located at 29455 N. Cave Creek Road, on the southeast corner of Cave Creek Road and Tatum Boulevard, the retail center was built by Park West Partners in 2007. The Fry’s anchored center (space not included in sale), includes American Family Insurance, Baskin Robbins, Hi Health and Great Clips. The center was 90 percent occupied at the time of sale.
Sue Cannon, LEED Green Associate, has joined Cassidy Turley’s property management division as vice president in the Phoenix office.
Cannon will oversee all operations of the property management portfolio and staff in Cassidy Turley’s Arizona office. In addition, she will be responsible for strategic business planning and management of client relationships.
“Sue’s experience and expertise in real estate management, leasing and operations will enhance the strong Cassidy Turley team we have in Phoenix,” said Paul F. Klink, senior managing director and principal at Cassidy Turley. “She’s highly regarded by her colleagues and clients, and her proactive management style is directly in line with the goals we have for our property management team.”
Cannon has more than 20 years of experience as a licensed real estate professional, managing and overseeing property management services for institutional and large investor owners in Arizona. Most recently, she was the Director of Property Management for J&J Commercial Properties in Phoenix. Cannon has extensive experience supervising teams of property managers, accountants and maintenance personnel, as well as acting as a third-party manager for institutional owners of multi-million square foot portfolios. She maintains an intense focus on problem solving and building outstanding relationships and is responsible for strategic business planning and management of client relationships.
A graduate of the University of Arizona and a licensed Arizona realtor, Cannon is a member of BOMA.
Cassidy Turley sold 13,419 SF, consisting of three office condos, at Riverside Office Plaza II, 1255 West Rio Salado Parkway in Tempe. FP Real Estate Holding, LLC dba Sonoran Spine Center (Phoenix) purchased the property for $1,375,447 ($102.49/psf) from Southwest Value Partners (Phoenix). Executive Managing Director Jeffery Wentworth and Vice President Sean Spellman, with Cassidy Turley’s Office Group, represented the seller while Fletcher Perry of Colliers International represented the Buyer.
Sonoran Spine Center. is an orthopedic spine care center specializing in all aspects of the spine including spinal surgeries. The center currently has five office locations in the Phoenix area and one office in Show Low. The new Tempe location will be part of an office location expansion for the Sonoran Spine Center.
Built in 2007, Riverside Office Plaza II is a two-story, office condo project featuring two office buildings totaling 75,500 SF. The Riverside Office Plaza Development is neighbors with the acclaimed Tempe Center for the Arts and overlooks the scenic Rio Salado area and Tempe Town Lake. The property is located east of the southeast corner of Priest Drive and Rio Salado Parkway with excellent access to the freeways, one mile from the Mill Avenue shops and restaurants and 2 miles from Sky Harbor International Airport. The project has condos 1,700-11,422 SF remaining for sale.
Cassidy Turley announced Friday that it sold two office buildings of the Redrock Business Center equaling ±21,190-square-feet at 17100 East Shea Boulevard in Scottsdale. A2Z Properties (Scottsdale, AZ) purchased the property for $1,925,000 ($90.84/psf) from MJA Investments (Lincoln, NE). Executive Managing Director Eric Wichterman, and Senior Vice President Mike Coover with Cassidy Turley negotiated the transaction on behalf of the buyer and seller.
Built in 2000, Redrock Business Center is a single-story Class B office complex featuring four (4) buildings designed to accommodate multiple tenants. The property is located in the Fountain Hills submarket at a high-traffic signalized intersection near the Beeline Highway 87. The building features great visibility from Shea Boulevard. The centers two buildings were 73 percent occupied at the time of sale.
Cassidy Turley announced Friday that it sold Black Canyon Corporate Center, a ±94,203 SF, Class-A office project at 10835 N. 25th Ave. in Phoenix. Younan Properties Inc. (Woodland Hills, Calif.) purchased the property for $7.14M ($75.16/psf) from REO Asset Manager, John Mitchell, of LNR Partners (Miami Beach, Fla.), as special servicer. Executive Managing Director Eric Wichterman, Senior Vice President Mike Coover, Executive Managing Director Jeff Wentworth, and Vice President Sean Spellman with Cassidy Turley negotiated the transaction on behalf of the buyer and seller.
According to Eric Wichterman, “Black Canyon Corporate Center is arguably the highest quality office building in the Northwest Phoenix trade area. With a strong tenant base it offered a unique mix of stability with upside potential for Younan Properties.”
Built in 2002, Black Canyon Center is a three-story, multi-tenant office building with a two-story lobby area. The property is located on Interstate 17 near two full-diamond interchanges at Peoria Avenue and Cactus Road. Black Canyon Corporate Center is less than one mile from Metrocenter Mall and numerous restaurants and retail amenities. The property was 82 percent leased at the time of sale.
Cassidy Turley completed a 10,180 SF lease for Keller Williams Arizona Realty at Raintree Corporate Center, 15333 N. Pima Rd. Executive Managing Director Jeffery Wentworth and Vice President Sean Spellman, with Cassidy Turley’s Office Group, represented the landlord, CW Capital Asset Management LLC (Washington, DC). Glenda Keeney-Gibson of Keller Williams Commercial represented the tenant.
Built in 2001, Raintree Corporate Center is a three-story, Class-A office project featuring two buildings surrounded by a myriad of restaurants, shops and hotels. The corporate campus is located in the heart of Scottsdale at the northeast corner of Raintree Drive and Loop 101 with a full diamond interchange at Raintree Drive. The property is located within half a mile from the Scottsdale Airport and within half a mile from the TPC of Scottsdale Golf Course. The project is currently 73 percent leased.
Cassidy Turley announced today that Spirit Realty Capital has selected the firm to market Riverpoint Buildings I and IV at, 3125 E. Wood St. and 4150 S. Riverpoint Parkway in Phoenix.
Spirit awarded the leasing assignment for the two buildings to the Cassidy Turley office team of Tyler Wilson, CCIM, Mark Stratz and Scott Baumgarten.
According to Spirit Realty Capital’s Vice President of Asset Management, Sean Hufford, “We are excited to bring the Riverpoint buildings to market. We are confident that with Cassidy Turley’s efforts, there will be great interest in leasing these two, premiere back office/call center buildings.”
Riverpoint Buildings I and IV are located within the Riverpoint Business Park in the heart of the Metro Phoenix/Tempe market. Riverpoint is located one block South of Interstate 10, with direct access via a full-diamond interchange at 32nd Street. Built in 2002 by Kitchell Development, the two buildings were leased by the University of Phoenix and have been fully-occupied for the past 12 years. Building I, at 3125 E. Wood St., is a ±53,573-square-foot, one level back office building on 4.9-acres. Building IV, at 4150 S. Riverpoint Parkway, is a ±137,363-square-foot, two level back office building on 7.8-acres. The site offers a 6 per 1,000 parking ratio with both covered and uncovered parking, excellent freeway access and a convenient location in the heart of the Phoenix Metro Area.
“Buildings I and IV at Riverpoint provide a unique opportunity in Phoenix for a tenant shopping for a lease-ready back office/call center property,” stated Cassidy Turley Vice President Tyler Wilson. “Most of the larger high-quality office blocks have leased the last few years, shrinking supply and increasing demand for build-to-suit development. However, that means a tenant has to wait 12 to 24 months before moving in. With both Buildings I and IV at Riverpoint, a Class-A tenant has the ability to immediately occupy the property and not wait through typical construction hurdles.”
Cassidy Turley announced Thursday that it sold North Mountain Professional Plaza, a ±9,850 SF multi-tenant office project at 1850 E. Thunderbird Rd. in Phoenix. LDP Associates (Phoenix) purchased the property for $1.325M ($134.52/psf) from North Mountain Professional Plaza, LLC. Executive Managing Director Eric Wichterman, and Senior Vice Presidents Mike Coover and Andy Cloud with Cassidy Turley negotiated the transaction on behalf of the seller.
According to Eric Wichterman, “North Mountain Professional Plaza was an excellent opportunity for an owner/user buyer to purchase a highly attractive office building with excess land.”
Built in 2001, North Mountain Professional Plaza is a single-story building designed to accommodate one or two tenants. The building has fronts on Thunderbird Road, just two miles west of SR-51.
Update: Sheila Bale, Managing Director and Ryan O’Connor, Associate at Newmark Grubb Knight Frank represented the Buyer SAPO Properties, LLC. (January 10, 2014)
Cassidy Turley announced Friday that Presson Corporation acquired Tempe Commerce Center, a 177,848 SF multi-tenant industrial complex for $11.8M ($66.35 PSF). The seller was Tempe-based Kieckhefer Properties. Senior Managing Directors Bob Buckley, Steve Lindley and Tracy Cartledge with Cassidy Turley’s Capital Markets Group negotiated the sale transaction.
Tempe Commerce Center is a nine-building project located at located at 6105-6125 S. Ash, 124-148 W. Orion, 125 W. Gemini and 6100-6202 S. Maple in Tempe. Built in 1982, the property has benefited from its outstanding location just east of I-10 with direct access to US-60, and the 101 and 202 Loops. The complex has had overall average occupancy of nearly 92 percent for the past 14 years and has never had occupancy below 84 percent. The property was 86 percent leased at the time of sale.
Senior Managing Director Bob Buckley stated, “Tempe Commerce Center’s strong occupancy history uniquely positioned the complex for long-term growth. Current low lease rates reflect where the market was during the recession, but the potential for increasing income as leases renew and new leases are signed in an improving market were a strong incentive for the new owners.”
Cassidy Turley announced today they successfully sold Canyon Trails Towne Center, 625 S. Cotton Lane. Trigate Capital (Dallas) purchased the Goodyear power center for $23.5M. The seller was a Vestar formed partnership. Cassidy Turley’s Ryan Schubert, Michael Hackett and Dan Wald negotiated the sale transaction for both parties.
According to Michael Hackett, “Canyon Trails Towne Center is a freeway-oriented, regionally-drawing power center which services a growing area in metro Phoenix. With the additional development opportunities at Canyon Trails, the buyer has the potential to grow the center to over 850,000 square feet making this one of the best value add opportunities available.”
Developed in 2008 by Phoenix-based Vestar, Canyon Trails has been developed with approximately 202,196 square feet of existing buildings on ±61.28-acres. Shadow-anchored by Super Target and a Home Depot-owned future building site, Canyon Trails includes twenty-two built and engineered pads and offers the opportunity to develop an additional ±300,000 square feet of leasable area. Canyon Trails is located at the intersection of Yuma Road and Cotton Lane and is currently being upgraded to allow direct access to the Loop 303 and Interstate 10.
Cassidy Turley announced Friday that it completed a 13,000 SF lease for Leasehawk, LLC (Scottsdale) at Promenade Corporate Center, 16427-16435 N. Scottsdale Rd. in Scottsdale. Cassidy Turley’s Jeffery Wentworth and Sean Spellman represented the landlord, Excel Trust, Inc. (San Diego). Gee Gee Entz of Heiple Travers Realty represented the tenant.
Leasehawk offers a touch-point solution to connect lease prospects with multi-family properties 24/7. Leasehawk provides services to enhance an apartment community’s ability to make informed decisions, track marketing costs, increase lead conversion rates and improve employee performance.
Built in 2004, Promenade Corporate Center is a four (4) story, class A office building featuring two (2) buildings and a parking garage, surrounded by a myriad of upscale restaurants and shops. The project boasts one of the Valley’s foremost locations at the southeast corner of Scottsdale Road and Frank Lloyd Wright. This prime location offers spectacular vistas of the McDowell Mountains and quick access to Loop 101. Courtyards, walkways and a high-profile, Frank Lloyd Wright designed Spire sculpture offset the property’s lush, mature landscaping. With the addition of Leasehawk, Promenade Corporate Center is 85 percent occupied.
Cassidy Turley completed the sale of ±3.97 acres of industrial land located south of the SWC of 48th Street and Washington Street on Thursday. Papago Tech, LLC (Moshe Family Trust) purchased the property for $900,000 ($5.20/PSF) from Pacific Western Bank. Cassidy Turley Arizona’s Rick Danis, Paul Boyle and Steve Mardian negotiated the sale transaction representing the seller. Adam Tolson and Chris McClurg of Lee & Associates represented the buyer.
Papago Tech, LLC plans to develop the property and construct a 60,000-square-foot building. LGE Design Build will manage the construction of the entire project.
Cassidy Turley announced that it completed a 23,500 SF lease for Vision Air America, Inc. (Phoenix) at 7239 N. El Mirage Rd. in Phoenix. Mike Gilbert, Gary Anderson and Justin LeMaster with Cassidy Turley’s Industrial Group represented the tenant. Sam Sorensen of Sorensen & Black, Inc. represented the landlord, El Mirage Road, LLC.
Vision Air America is an airplane part and brokerage company offering an array of services that include: inventory appraisals, exchange and loan programs, on-site inventory stocking and loans, complete teardown program as well as aircraft repair capabilities. The lease represents an expansion and relocation for the company who was previously in a 5,000-square-foot building on 107th Avenue.
Cassidy Turley announced it completed the sale of a ±30,240-SF industrial warehouse building at 5010 S. 48th St. in Phoenix. Northcom 44, LLC (Logan, UT) purchased the property for $2.975M ($98.37 psf) from Sandy Point Partners, L.P. (El Paso, TX). Cassidy Turley Arizona’s Michael Haenel and Andy Markham, SIOR, negotiated the sale transaction representing the seller. William (Bill) Bayless of CBRE represented the buyer.
Built in 2007, the industrial showroom/warehouse project sits on +2.32 acres at the major crossroads of Broadway Road and 48th Street. The property was 100 percent leased at the time of sale. Garage Classics, LLC plans to utilize the full building.
Cassidy Turley sold Sky Harbor Towers, a ±273,623-SF class-A office project at 4605, 4615, 4635 East Elwood Street in Phoenix. Orsett Properties, Ltd, purchased the property for $12.1M ($42.66/psf) from REO Asset Manager, John Mitchell, of LNR Partners (Miami Beach, FL), as special servicer. Executive Managing Director Eric Wichterman and Senior Vice President Mike Coover, with Cassidy Turley’s Capital Markets Group negotiated the transaction for both parties.
According to Eric Wichterman, ―Sky Harbor Towers represents the largest block of available office space in the metropolitan Phoenix area.
“Tenants seeking office space to accommodate heavy parking–and who find appeal in prominent freeway visibility–will realize superb value in this campus by avoiding the more costly and time consuming build-to-suit option,” Wichterman says.
The newly named Orsett Sky Harbor Gateway was built in phases between 1986 and 1999 and consists of three separate buildings, varying from three, four and seven stories on 12 acres of land. The project is located along Interstate 10, one mile southeast of Phoenix Sky Harbor International Airport. The Cassidy Turley leasing team of Jeffery Wentworth, Michael Beall, Sean Spellman and Christopher Walker has the leasing assignment appointed by Orsett Properties.
A proposed 967,000 SF development called FNB Fountainhead is expected to move into the SWC of Alameda Drive and 55th Street in Tempe and adjacent to Fountainhead Park Office Park parallel to the I-10 freeway.
The plans include four Class-A contemporary office buildings, ranging from three to 12 stories, two parking structures (3,600 spaces positioned on 25 acres).
The project, developed by FNB Fountainhead LLC, is valued at $225M, will be brokered by Cassidy Turley and designed by DPA Architects. A general contractor and subcontractors have yet to be announced. Start and completion dates will be released at a later date.
Cassidy Turley sold The Shops at Prescott Gateway, a ±34,671 SF shopping center adjacent to Prescott Gateway Mall, on the SWC of Highway 69 and Lee Boulevard in Prescott. Cole Real Estate Investments, Inc. purchased the property for $12.77M from RED Development. Cassidy Turley’s Ryan Schubert and Michael Hackett represented RED Development during the sale transaction.
According to Schubert, “The Shops at Prescott Gateway received tremendous interest from the market as Red Development built another irreplaceable, destination asset. Despite its perceived secondary market location, the property received over a dozen offers.”
Built in 2012, The Shops at Prescott Gateway is a five building retail center anchored by Trader Joe’s with a national and regional tenant base, including Five Guys, Great Clips and Mattress Firm. The center was 93 percent occupied at the time of sale.
Cassidy Turley announced that it completed a 10,746 SF lease for Injured Workers Pharmacy, LLC (Methuen, MA) at Phoenix Tech Center, 5029 E. Sunrise Drive.
Tyler Wilson, Mark Stratz and Scott Baumgarten with Cassidy Turley’s Office Group represented the tenant while Dave Seeger, Karsten Peterson, Mark Gustin and Matt Gandolfo of Jones Lang LaSalle represented the landlord, Block Real Estate Services (Block Income Fund I, L.P.).
IWP is a national pharmacy service working as an advocate for injured individuals. It takes the financial burden out of the prescription process by shipping medications directly to patients and collecting payment from insurance companies. The Phoenix location is a new expansion office for IWP, and will be used as a customer service call center and fulfillment facility.
Cassidy Turley sold a 5.4 acre multi-family development site approved for 316 units at 75th Street and Stetson Drive in downtown Scottsdale. A partnership formed by Alliance Residential (Bruce Ward, Bob Hutt, Jay Jimenez, Ian Swiergol) purchased the property for $18.5M, $78.50 PSF, and $58,544 per unit. Executive Vice Presidents David Fogler and Steven Nicoluzakis with Cassidy Turley Arizona’s Multi-Family Investment Group and Don Arones, with Cassidy Turley’s Office Group, brokered the transaction on behalf of the Seller – Equity Partners Group (Steven Yari, Shawn Yari, Bob Agahi), a division of Triyar Companies of Scottsdale.
“This is a premier multifamily development site located in the center of the Entertainment District in Downtown Scottsdale. With the entitlements that were in place and the development expertise of Alliance Residential, this will prove to be one of the leading multifamily projects in the market.” according to Nicoluzakis.
Alliance Residential intends to break ground on the development later this year.
Metro Phoenix is third in the nation for office demand during the third quarter with more than 1 MSF of net absorption.
• Metro Phoenix ranked 3rd in the Nation for overall office demand during the last quarter with net absorption of 1,008,933 square feet. The only two markets that were higher were Houston with 1.7 million square feet and New York with 1.3 million square feet of net absorption.
• Net absorption during the 3rd quarter was the second largest quarterly gain since 2006.
• Two speculative office buildings started construction during the third quarter: SkySong III in the South Scottsdale submarket (approximately 75% preleased) and Park Place Central – 1360 S. Spectrum Blvd. in the Chandler/Gilbert submarket.
Since the end of the “Great Recession”, metro Phoenix office market has experienced lackluster growth. Average annual net absorption for 2011 and 2012 was 1.2 million square feet. To draw a parallel to the 2001 recession, demand for office space in Phoenix was weak in the first three years of the recovery (averaging 1.7 million square feet of annual net absorption), and then the office sector took off in 2005, 2006, 2007 (averaging 2.8 million square feet of annual net absorption). Metro Phoenix office market is starting to reach similar years to 2005-2007.
Cassidy Turley recently announced the sale of the Los Alamos Center, a ± 22,050-square-foot industrial auto complex property at 3015 E. Main St. in Mesa, Ariz. WLA Investments, Inc. (Newport Beach, Calif.) purchased the property for $1,235,000 ($56.01/psf) from Los Alamos Center, LLC (Mesa). Senior Managing Directors Paul Boyle and Rick Danis with Cassidy Turley’s Capital Markets Group negotiated the transaction for the buyer while Adam Hansen of Metropolitan Realty Advisors represented the seller.
Built in 1987, Los Alamos Center is a one-story multi-tenant industrial complex featuring three buildings on 1.76 acres. The property is located near several corporate auto tenants including O’Reilly Auto Parts, Midas, Just Brakes, Napa Auto Parts and MAACO. WLA Investments, Inc. plans to hold the building as an investment property. The complex was 100 percent occupied at the time of sale.