Tag Archives: CBRE

CBRE’s Jamie Swirtz named to “Young Leaders to Watch”

Jamie Swirtz head shotCBRE broker Jamie Swirtz has been named to CoreNet Global’s inaugural “36 Under 36: Young Leaders to Watch” list.

CoreNet Global chapters from around the world nominated their top Young Leaders for the first-ever list of “Who’s Who” in corporate real estate and the honorees were recently announced and featured in the LEADER magazine’s May/June issue. Distinguishing themselves as vibrant, adaptable, technologically savvy, innovative and philanthropic, CoreNet’s “36 Under 36” represent the bright future of corporate and commercial real estate.

Swirtz began his career with CBRE in 2009. In 2011 he joined the Arizona market’s top corporate services team working under Executive Vice President Tom Adelson. That year the team negotiated 78 transactions worth $343 million and comprising ±2.6 million square feet and represented 30 different tenants in 35 leases. In 2014, Swirtz began focusing his work in the Southeast Valley (Tempe, Chandler, Gilbert and Mesa) office market where he represents landlords and tenants.

Outside of CBRE Jamie is actively involved in the community. In addition to CoreNet Global’s Arizona Chapter, he participates in the Make-A-Wish Foundation and Phoenix Suns Charities.

“I’m very proud of Jamie; he is very deserving of this honor. Since starting with CBRE he has quickly made an impact on the local commercial real estate community,” said Craig Henig, senior managing director and Arizona market leader for CBRE. “CBRE prides itself on being at the forefront of the industry and professionals like Jamie, who embody our standards of excellence, ensure we will continue to maintain our position as an industry leader.”

AirportGatewayFTZ_Main-2

Infrastructure development underway at Goodyear Gateway South

EJM Development Co. has broken ground on $5 million worth of infrastructure development at Goodyear Gateway South in Goodyear, Arizona. Goodyear Gateway South is a ±221 acre industrial zoned park located just north of the Phoenix Goodyear Airport that has recently been subdivided with lots ranging in size from 9.6 acres to 50 acres. Construction on streets and utilities is underway, which will lay the framework for the master-planned industrial park to attract major users to the area. The street improvements will be complete in the 4th quarter of 2014 and include full width 143rd Avenue from Van Buren Street to Yuma Road and improvements to Yuma Road as well as a traffic signal at 143rd and Van Buren.

“The West Valley has emerged as the next epicenter of major commercial development in metropolitan Phoenix,” said Fred Stiles, Regional Director with EJM Development Co. “As major employers look to locate and expand in the Valley, it’s important that we are able to offer high quality industrial zoned shovel-ready sites. The development of infrastructure, streets and utilities at Goodyear Gateway South is major step towards being ready for incoming users.”

In addition to offering shovel-ready sites, Stiles points to the park’s designation as a foreign trade zone as another boon to future users.

“The U.S. Foreign Trade Zones program expedites and encourages foreign commerce making Goodyear Gateway South an attractive location for any industrial, manufacturing, distribution or warehouse user doing business internationally,” said Stiles. “And in the state of Arizona there is an additional tax benefit for properties in foreign trade zones that allows for significant reductions in both real and personal property taxes.”

The master-planned industrial park also benefits from proximity to the Phoenix Goodyear Airport and Interstate-10 and its location within one of the Southwest’s fastest growing markets, which offers unparalleled accessibility to both metro Phoenix and other major markets in the Western United States.

“Goodyear Gateway South is ideally situated on a number of fronts,” said Pat Feeney, senior vice president with CBRE’s Phoenix office, who heads up the marketing and leasing team for the property. “Users that transport goods intra- and inter-state will be well positioned to conduct business efficiently. What’s more, a talented, deep and productive workforce lives in the immediate area, while freeways put Goodyear within an hour of all 3.8 million workers in greater Phoenix.”

The ±221-acre, foreign trade zone-approved Goodyear Gateway South is part of the larger ±350 Airport Gateway at Goodyear master-planned community. At build out Airport Gateway will feature approximately 3 million square feet of planned industrial/work space at Goodyear Gateway South and an additional 2.5 million square feet of upscale regional retail, hotel, office and medical office uses at Goodyear Gateway North.

Rio West Business Park

American Airlines Group renews Tempe lease

CBRE has negotiated a 201,724-square-foot lease at Rio West Business Park, a class A office complex located at 1821, 1921 and 2021 W. Rio Salado Parkway in Tempe, Ariz.

Fort Worth, Texas-based American Airlines Group, the holding company for American Airlines and US Airways, is the anchor tenant of the business park, where the company houses accounting, customer service and IT jobs. American also has staff facilities at 111 W. Rio Salado Parkway and reservations and customer service functions at other locations in Tempe, in addition to its airport flight, training and maintenance operations at Phoenix Sky Harbor International Airport. The company employs more than 10,000 people in Arizona.

American’s new lease agreements for the Rio West space run through April 2019 for Buildings B and E and September 2017 for Building A. Financial terms were not disclosed.

Tom Adelson in CBRE’s Phoenix office represented the tenant in the lease agreement. The landlord, Leavitt-Wolff Tempe Holdings LLC of Seattle, was represented by Warren Johnston, also of CBRE’s Phoenix office.

CBRE multi-housing investment group negotiates $3.6M in sales

Oak CreekCBRE has negotiated the following multi-family sales transaction:

801 Turney LP of Tempe, Ariz. has purchased the Oak Creek apartment complex, a 60-unit multi-family property located at 801 W. Turney Ave. in Phoenix, from the Gary B. Outzen Trust and Jacqueline Schneider Trust. Brian Smuckler and Jeff Seaman of CBRE’s Phoenix office represented both parties in negotiating the $2.7 million transaction.

ParkwayMike Davis of Oxnard Calif. has purchased the Parkway apartment complex, a 16-unit multi-family property located at 6516 N. 17th Ave. in Phoenix, from Abbotsford, British Columbia, Canada-based Parkway Westco Apartments, L.P. Brian Smuckler and Jeff Seaman of CBRE’s Phoenix office represented the buyer and seller in negotiating the $960,000 transaction.

Dick's Sporting Goods distribution warehouse, Goodyear

Industrial Evolution: West Valley poised for land grab

Dick’s Sporting Goods built a 720KSF distribution center in Goodyear to service its West Coast stores.

A California-based investor erected a 400KSF spec shell in Surprise’s Southwest Railplex business park.

Corporate giants, Macy’s, Amazon, Sub-Zero, Marshall’s/TJ Maxx, Southwest Products and WinCo have landed or expanded their vast West Valley industrial operations within the last two years.

Even more companies are eyeing potential stakes in the burgeoning industrial parks springing up in once sleepy bedroom communities west of Phoenix.

With the recession in their rear-view mirrors, local, national and international companies are revving up manufacturing and distribution operations, and the West Valley is poised to be a big beneficiary of their expansion plans.

Justin LeMaster, Cushman & Wakefield

Justin LeMaster, Cushman & Wakefield

Available and affordable land, a deep labor pool, business-friendly state and local governments and top-notch transportation corridors contribute to the West Valley’s desirability, said Justin LeMaster, Cushman & Wakefield’s director for industrial properties.

Farsighted developers are already master-planning vast spreads of land, setting up infrastructure and even building large-scale spec structures that can accommodate another industrial giant or get sliced and diced to accommodate several smaller operations.

The developers — along with city and state economic development specialists — want their properties primed to snag the business when the lookers become movers, LeMaster said.

“Smart, creative developers will make the West Valley a successful high-growth market for years to come,” he said.

The numbers confirm the trend.

An impressive 4.5 MSF — nearly 94 percent of the metro area industrial construction started or completed in 2013 — is in the West Valley, according to Jones Lang LaSalle’s Q4 Industrial Report.

Q4 absorption was 1.96 MSF, and only 15.3 MSF of the West Valley’s 90.7 MSF total industrial inventory was still available at year’s end.

Nevertheless, 4.5 MSF is a significant amount of new inventory for a post-recession market, and, in fact, it boosted Valleywide industrial vacancy rates above 12 percent.

Anthony Lydon, Jones Lang LaSalle

Anthony Lydon, Jones Lang LaSalle

Industry experts aren’t worried.

“The new, grown-up, industrial tenants coming to market right now are looking for 300KSF, 400KSF and above,” said Anthony Lydon, Jones Lang LaSalle managing director for Supply Chain & Logistics Solutions.

Less than half of the West Valley’s available space meets that criteria, and a few big employers could snatch that up in a flash, he said.

Like LeMaster, Lydon expects that to happen sooner rather than later.

“Over the next 24 to 36 months, the Valley, and the West Valley in particular, will see significant new job creation,” he said.

So what makes the West Valley suddenly so attractive to the industrial users?

“Economics and location,” said Pat Feeney, CBRE senior vice president for industrial services.

Cost is key
Of the metro area’s three major industrial hubs ­— the airport area, the Tempe/Chandler corridor and the West Valley — the first two are nearly out of developable land, Feeney said. And scarcity makes that land pricey, especially for a large user.

Pat Feeney, CBRE

Pat Feeney, CBRE

A skilled and diverse labor force that moved west when the home builders did is another major factor, he said.

“Nearly 70,000 people live in Goodyear, but only 14,000 or 15,000 work in Goodyear,” Feeney said.

When big employers like Sub-Zero, Amazon and Macy’s held job fairs for their new West Valley digs, they typically attracted eight to 10 qualified applicants for every position, he said.

“They all shared that they were so happy they could pick the cream of the crop,” Feeney said. “It’s a really big draw.”

David Krumwiede, Lincoln Property Company

David Krumwiede, Lincoln Property Company

Staffing a large warehouse is a major economic concern, especially for companies with labor-intensive, e-commerce picking systems, said David Krumwiede, executive vice president for Lincoln Property Company, which owns 6 MSF in its four-state Desert West Region, 2.4 MSF of that in the West Valley, including Goodyear AirPark and 10 Lincoln.

Arizona’s main competition for the big industrial users looking to establish or expand operations in the West is California’s Inland Empire, Krumwiede said.

While the Inland Empire’s construction costs are comparable to Arizona’s, labor costs in Arizona, a right-to-work state, are much lower, he said.

“We are extremely competitive with California’s Inland Empire if a user has more people than trucks,” Krumwiede said.

And big energy consumers, such as companies employing sophisticated e-commerce logistics technology, can save as much as 30 percent to 40 percent in operating costs by locating in Arizona instead of California, Lydon said.

But possibly the biggest economic incentive for many industrial users is Arizona’s much more favorable tax basis, Krumwiede said.

All of the West Valley’s large planned business hubs have designated areas that are Foreign Trade Zone capable, and that’s a big selling point for companies that do significant international business in parts or products, Krumwiede said.

“If a company qualifies, it can see a 72 percent reduction in property taxes,” Feeney said. “It’s a tremendous benefit.”

And a benefit none of the nearby states can offer, he said.

Such issues make Arizona, especially the West Valley, where land is available and affordable, a clear economic winner over California.

Location, location, location
Second only to the West Valley’s attractive economics, is its advantageous location, less than half-a-day’s drive from the southern California ports — a major consideration for retailers and e-commerce leaders like Amazon, as well as manufacturers like Sub-Zero, according to the experts.

Rob Martensen, Colliers International

Rob Martensen, Colliers International

“If you can get out of traffic and get closer to the ports in Los Angeles and Long Beach, you can make that in six hours,” said Rob Martensen, Colliers International vice president.

That means truck drivers can log a round trip and still stay within federal guidelines regarding length of time on the road, a feat not so easy to accomplish from the East Valley.

And for companies distributing products regionally — Macy’s or Dick’s Sporting Goods, for example — the completion of the Loop 303 will forge the final freeway link that can speed trucks to and around cities and states north and west of Phoenix.

“It will open the gateway,” LeMaster said. “Companies want to be in Phoenix, and the West Valley will be the industrial hub of Phoenix with the (Loop 303/I-10) interchange.”

Overall, the combo of favorable attributes will ensure the West Valley lands on the short list for large and small industrial users for the next decade or so, Krumwiede said.

“The companies that are already out there — Amazon, Target, Costco, PetSmart, Staples, Macy’s — are all household names. It’s a great start. We’ll see more of those,” he said.

“My vision is that a lot of that vacant land will be put into production in the next five to 10 years.”

USA Place includes a 390-room Omni International hotel, 65KSF events center and exhibit hall, 545 Class-A apartments, 180KSF of street level retail, 240KSF of office space and underground parking. Rendering courtesy of Concord Eastridge.

Valley sports venues a slam dunk for developers

The Valley is already home to the largest concentration of Major League Baseball fields, used during the Cactus League Spring Training, but even more sporting venues are breaking ground and with them a variety of mixed-use retail, hospitality and multi-family developments. USA Place, Avenue Shoppes at P83 and Riverview Park are such milestone investments in the Valley. Between the three projects, more than three-quarters of a billion dollars is coming out of the ground next to major sports venues. There’s something to be said about the generating return of investment when a few months of star-quality use also needs to spur another eight to 10 months of revenue.

The key behind the three projects is that developers are focused on what happens when USA Basketball and Major League Baseball Spring Training games are not filling the stadiums. It’s the “off-season” activities that return the investment and ensure successful revenue streams. These are “they’re coming; now we can build it” developments. However, each has its own business plan for success.

A City Built Around a Campus

Susan Eastridge, Concord Eastridge

Susan Eastridge, Concord Eastridge

When USA Place, the largest of the trio, broke ground in February, it became the second-largest Phoenix Metro project under construction. Its $450M price tag is second only to the nearby $600M Marina Heights project. Designed by Future Cities, one of the development partners, and Architekton, the single-phase project is being built by Turner Construction. CBRE is handling the office and residential leasing; Cushman & Wakefield is leasing the retail.

The joint venture that is USA Place LLC is run by Scottsdale-based Concord Eastridge. CEO Susan Eastridge says the project is the ultimate urban mixed-use development. Located on the future Tempe trolley line, USA Place is the new home to USA Basketball and Arizona Interscholastic Athletics. When it comes to filling the venue, AIA and landlord Arizona State University are the ones who will keep the 65KSF events center filled 10 months of the year. Eastridge says there are already 200 events a year locked into the facility.

Alisa Cutright-Thompson, Concord Eastridge

Alisa Cutright-Thompson, Concord Eastridge

“This is a community where people can literally live, work and shop,” explains project manager Alisa Cutright-Thompson. “We have retail shops, apartments for professionals, the events center, meeting space and a hotel in a single urban complex.”

“We’re building something that ASU and Tempe have wanted — a class-A hotel and mixed-use community,” says Eastridge.

“The AIA will fill the center with more than 200 events per year. Conferences and meetings from the hotel will fill the rest. The residents will connect with the shops.”

The high-rise, full-service hotel- and tallest building in Peoria- will have 140 rooms and likely carry a Hilton brand. The restaurant-retail complex will include more than 245KSF in space. The city is paying $30M for the twin parking garages that PSP LLC will build. Avenue Shoppes at P83. Image courtesy of Peoria Sports Park, LLC.

The high-rise, full-service hotel- and tallest building in Peoria- will have 140 rooms and likely carry a Hilton brand. The restaurant-retail complex will include more than 245KSF in space. The city is paying $30M for the twin parking garages that PSP LLC will build. Avenue Shoppes at P83. Image courtesy of Peoria Sports Park, LLC.

A Venue for Westsiders
One of the largest projects in the West Valley will be the $150M mixed-use retail and hospitality development called the Avenue Shoppes at P83. Anchoring the main gate of the Peoria Sports Complex, the project brings life to the P83 entertainment district the city is trying to create.

“This is going to be a destination,” says Peoria Sports Park LLC managing member Michael Oliver. The Peoria-based developer says his personal experience is what led to the vision for the facility. “There are no entertainment and shopping destinations in Peoria. We’re going to anchor this with a complex that is in a category falling between Scottsdale Fashion Square and Kierland Commons. It will be a place to go and stay, not just shop and run.”

The development includes city-funded parking garages and a 140-room, high-rise hotel. Not including the rooftop bar, there are 245K SF for restaurants and shopping. PSP is looking at a major flag for the hotel, which will be set on top of the retail complex on city-owned land.

The Avenue Shoppes will start construction in the next year and is estimated to costing $150M. Michael Baker Jr. Inc. is handling design duties; a contractor has not been selected. CBRE is consulting on leasing.

The Cubs Park stadium has touches of Wrigley Field. The bricks behind home plate and the scoreboard are replicas of the same facilities at the Chicago ballpark. The Sheraton Hotel and Wrigleyville will be east of Cubs Park. Photo by Eric Jay Toll.

The Cubs Park stadium has touches of Wrigley Field. The bricks behind home plate and the scoreboard are replicas of the same facilities at the Chicago ballpark. The Sheraton Hotel and Wrigleyville will be east of Cubs Park. Photo by Eric Jay Toll.

Mesa ‘Ville Plans Year-Round Action
“This is new money in the market, and it’s a destination with both regional and local opportunities,” says Mesa Mayor Scott Smith about the showcase Cubs Park and hometown Riverview Park complex nestled against the Loop 101 and 202 freeways in northwest Mesa. “It’s the anchor for a lot of activity,” he adds. “Wrigleyville’s hotel and shops provide an opportunity for conferences and sports events.”

The city invested more than $90M into Cubs Park and another $30M into the recreation and sports facilities at Riverview Park. Structures, Inc., and Powers Hotel Corp. will build a full-service Sheraton Hotel next to Cubs Park, along with 20K SF of retail space in the first phase.

Construction starts this summer and developer Bob Yost expects it to be completed in time for the Super Bowl. Structures Inc., with Yost as CEO, is handling the design-build. It’s estimated that the hotel-retail project will cost more than $60M, but no one from Structures would confirm the price tag.

Chauncey Professional Center, 6930 E. Chauncey Lane, Phoenix.

CBRE negotiates $11.1M sale of 2 office buildings

ViaWest Group has sold two premier class A office buildings in the Phoenix metro area for a total consideration of $11.1 million. CBRE negotiated the sale to Melcor Development of the ±24,154-square-foot Perimeter Parkview Corporate Center at 8355 E. Hartford Drive Scottsdale, Ariz. and the ±35,066-square-foot Chauncey Professional Center located at 6930 E. Chauncey Lane, in Phoenix, for a combined ±59,220-square-foot investment. The buildings commanded sale prices of approximately $4.1 million and $7 million, respectively.

Barry Gabel and Chris Marchildon with CBRE’s Phoenix office represented the seller, ViaWest Group of Phoenix. The buyer, Edmonton, Alberta, Canada-based Melcor Developments Arizona, Inc., was represented by Tom Swan with Amcal Southwest.

ViaWest originally purchased the properties in two separate transactions. The Chauncey property was purchased in December 2006 in shell condition and ViaWest was able to lease up the property from zero percent in late 2007 to 100 percent by mid-2009 during a very difficult leasing period. This was done through building spec suites of varying sizes, creative marketing approaches and unique lease structures. The Perimeter Parkway property was bought at a trustee sale in January 2011 with a portion of the property leased and the balance in shell condition. Within one year of purchase the property was 100 percent leased.

Both Chauncey Professional Center and Perimeter Parkview are presently 90 percent leased, with one suite in each property becoming available within the last month. Those suites total 3,708 square feet and 2,486 square feet, respectively.

“These two assets are excellent properties that are of great quality and extremely well-located. Melcor should have much success with them. As a local value-add operator, we will continue to redeploy capital into our strategies that generate opportunistic-type returns,” stated Steven Schwarz of ViaWest Group.

“The North Scottsdale/Airpark area has consistently outperformed the overall Phoenix market in net absorption of office space and is one of the top job-creating economies in the U.S.,” said CBRE’s Gabel. “In addition, these properties are both surrounded by first-class amenities, high-end executive housing and the Loop 101 Freeway making them very attractive to both current and prospective tenants, and solid investments for the buyer.”

The sale marks Melcor Developments Arizona, Inc.’s entrance into the Arizona market and ViaWest has been retained to continue management of both properties keeping its management portfolio in excess of 1.5 million square feet.

Built in 2007, Perimeter Parkview Corporate Center is a two-story, class A, multi-tenant office building situated in the Scottsdale Airpark submarket. The property has a high-quality tenant roll including Arizona State University’s WP Carey Graduate MBA Program, Interior Motives, Titus Brueckner & Levine PLC, BIC Distributors and Pro Sports Management. The property is located at the base of the McDowell Mountains, in the ±260-acre Perimeter Center Business Park. The business park is adjacent to the TPC Stadium as well as numerous residential and golf communities, resort hotels and an abundance of exciting dining and retail options.

Chauncey Professional Center, which was built in 2006, is located in the North Scottsdale Corporate Center master-planned commercial development. Tenants include Aspen Systems, Troche Fertility Clinic, Marcum Media, AZ Tech Finders, Nobis Technology Group, Landmark Management Group, MiCamp Solutions, Bottle & McInerney, Cadron Financial and Pogson Asset Management. Chauncey Professional Center is surrounded by first-class amenities, including the ±580,000-square-foot Scottsdale 101 retail power center, the ±200,000-square-foot Whole Foods anchored Shops at Chauncey Ranch, the ±465,000-square-foot Chauncey Ranch Autoplex, and a ±110,000-square-foot Lifetime Fitness. The property also benefits from proximity to high-end executive housing and the Loop 101 Freeway.

Perimeter Parkview Corporate Center, 8355 E. Hartford Drive, Scottsdale, Ariz.

Perimeter Parkview Corporate Center, 8355 E. Hartford Drive, Scottsdale, Ariz.

CBRE

CBRE Office Brokerage Team Wins NAIOP Award

A team of brokerage professionals in CBRE’s Phoenix office, Tom Adelson, Jim Fijan, Jerry Roberts and Corey Hawley, were awarded as the Office Broker Team of the Year by the Arizona Chapter of the National Association of Industrial and Office Properties (NAIOP). For Adelson and Fijan, who have worked together since 1983, this marks the 19th time in 24 years they have won this award. Roberts joined the company, and team, in 1988 and Hawley in 2004.

Executive Vice Presidents Adelson, Fijan, Roberts and Senior Associate Hawley are consistently among the top producing teams in CBRE’s Phoenix office. Since the beginning of their careers and partnership at CBRE, the team has been the most productive sales professionals with the greatest number of transactions in the Phoenix office. In 2013, the team completed 140 sale and lease transactions representing more than 3.55 MSF of office product and 2.7 acres of land.

“What’s most unique about this team is our ability to keep evolving over the years,” says Roberts. “Early on we realized that if we all focused on the parts of the business that came most naturally to us and enjoyed we’d be able to cover a lot more ground and touch a lot more clients.”

“Over the past 22 years that formula has worked well, but what is most important is that everyone on the team has our clients’ best interests in mind,” said Fijan. “Although we try not to overlap pursuits, we all know what the other team members are working on and we are constantly exchanging ideas and strategies to ensure our clients get the benefit of our team’s market knowledge and experience as a whole, as well as ensure all of our clients’ expectations are fulfilled. We’re all extremely knowledgeable about the office real estate market, but when you combine our individual skill sets the capabilities we have as a whole are quite impressive.”

Fijan, along with his associate Will Mast, focuses on office investment and land sales and consistently leads the market in transaction volume. Fijan has, thus far in his career, closed 90 million square feet in transactions for a total consideration of $9 billion. Adelson represents occupiers and corporate tenants looking for space in the market or around the world and maintains the status as the preeminent corporate services broker in Arizona and the country. Roberts, along with Hawley, provides landlord leasing services to owners and developers of commercial real estate throughout the greater Phoenix area. In 2013 alone, they leased over 1.6 million square feet and represented 18 different landlords in 48 lease transactions.

“Winning NAIOP’s ‘Best’ award is as much a testament to the high-level performance of the brokerage team as it is their ability to leverage CBRE’s extensive market reach and comprehensive platform of services,” said Craig Henig, senior managing director and Arizona market leader.  “But the big winners are our clients, who benefit from the local market knowledge and industry-specific expertise these individuals, and our company, provide.”

Missouri Breaks

CBRE negotiates sale of Missouri Breaks apartment complex

CBRE has negotiated the following multi-family sales transaction:

• EQ Missouri 51, LLC of Tempe, Ariz. has purchased the Missouri Breaks apartment complex, a 52-unit multi-family property located at 1637 E. Missouri Ave. in Phoenix, from 1637 E. Missouri Avenue, LLC. Brian Smuckler and Jeff Seaman of CBRE’s Phoenix office represented both parties in negotiating the $2.1 million transaction.

143tech

CBRE negotiates sale of 143 TECH in Phoenix

CBRE has negotiated the sale of 143 TECH – a 113,827-square-foot, industrial/flex building located at 317 S. 48th St. in Phoenix. The property commanded a sale price of $9.4 million.

Tom Adelson with CBRE’s Phoenix office, along with Fred Darche of Lee & Associates, represented the buyer, Phoenix-based Verde Investments, Inc. The seller, Florida-based Second Berkshire Properties, LLC, was represented by Cassidy Turley’s Mike Haenel, Andy Markham, SIOR and Will Strong.

The investment purchase, which includes the existing structure and 12 acres at the southeast corner of 48th and Madison Streets, is located in the Discovery Triangle region of metro-Phoenix. The economic-redevelopment zone is an asset-rich urban region between Phoenix, Tempe and Papago Park and has become one of Phoenix-metro’s most dynamic growth centers. Built in 1990, the property is located within a developing neighborhood comprised of a mix of old and new residential, commercial, industrial and office land uses.

The buyer, Verde Investments, Inc., is owned by Ernie Garcia, owner and chairman of the board of Phoenix-based DriveTime Automotive Group, Inc. Verde is currently reviewing all possible uses for the property, but has yet to disclose any plans for the asset.

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.

Residences at Fountainhead

The Residences at Fountainhead Corporate Park

The project consists of 322 apartment homes featuring studio, one-, two- and three-bedroom floor plans with flat and loft units contained within four-story buildings with six elevators and surface covered parking spaces. The buildings are connected by bridges on multiple levels along with balconies and apartments that span over driveway locations at the third and fourth levels creating portico entry ways on 55th Street and South Plaza Drive. The two-story clubhouse anchors the center of the community with top tier amenities, including indoor and outdoor fire pit areas, clubroom, fitness area, game room, swimming pool and spa situated within the secluded and lush landscaped grounds of Fountainhead Corporate Park in south Tempe.

Developer: Tilton Development Co. and Goodman Real Estate
General contractor: Adolfson & Peterson Construction Inc.
Architect: Todd & Associates Architecture
Location:  55th Street & S. Plaza Drive, Tempe
Size: 389,314 SF
Brokerage firm: CBRE
Value: $35M
Start/Completion: January 2014 to July 2015

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.

Surprise Town Squar, WEBe

CBRE Completes Sale of Town Square at Surprise

CBRE has completed the sale of Town Square at Surprise located at 14155 W. Bell Rd. in Surprise, Ariz. The free-standing, ±12,771 SF retail strip center commanded a sale price of $2.7M. The property was 81 percent leased at time of sale.

 

Barry Gabel, Chris Marchildon, Steve Julius and Jesse Goldsmith with CBRE’s Phoenix office negotiated the sale on behalf of the seller, Phoenix-based Surprise Center Development Company, LLC. They buyer was MA & MA Investments, an Arizona limited liability company, and was represented by Philip Wurth with Colliers International.

 

Developed by a joint venture between Columbus, Ohio-based Glimcher and Carefree Partners Investments, LLC of Scottsdale in 2008, Town Square at Surprise is a contemporary, free-standing retail strip center located in a rapidly developing area. As part of the Surprise Civic Center development and with proximity to the Surprise spring training facility as well as residential, medical, office, big box retailers and hotels, the property benefits from numerous amenities. Additionally, current tenants include several popular establishments including Pei Wei Asian Diner, Jimmy Johns, Edward Jones, R&S Mattress and The Joint, a lifetime family wellness chiropractic place that will continue to drive traffic to the retail center.

2127 E. Speedway

CBRE Releases Recent Leasing Transactions in Tucson

CBRE’s Tucson office has released the following recent leasing transactions for the greater Tucson area:

 

Chuy’s restaurants have leased 2,400 SF of retail space at Capin Plaza located at 8195 N. Oracle Rd. in Tucson. CBRE’s Jayme Fabe negotiated on behalf of the landlord, Capin Family Trust of Tucson. The tenant was represented by Peter Villaescusa and Jesse Peron, also with CBRE.

 

Barker-Morrissey Contracting has leased 6,719 SF of office space 2127 E. Speedway Blvd. in Tucson. CBRE’s Bill Di Vito and Jesse Blum represented the lease on behalf the tenant while Di Vito, Blum and Buzz Isaacson represented the landlord, Holualoa Speedway Office LLC.

 

US General Administration Services has leased 5,616 SF of office space at Monument Plaza located at 1637 E. Monument Plaza in Casa Grande, Ariz. CBRE’s Ian Stuart and David Blanchette represented the landlord, Casa Grande Internal Medicine PC. The tenant was represented by Chris Ackle with CBRE’s Phoenix office.

 

Yamaneko Dojo LLC has leased 1,500 SF of retail space at Midstar Plaza located at 4518 E. Broadway Blvd. in Tucson. The landlord, Midstar Partners LLC, was represented by Nancy McClure and Michael Laatsch with CBRE’s Tucson office. The tenant was represented by Robert Grant with KW Commercial.

 

Catholic Community Services of Arizona has leased 6,712 SF of office space at 5151 E. Broadway Blvd. in Tucson. The tenant was represented by CBRE’s Buzz Isaacson, Robert Delaney and Tim Healy. The landlord, KCI-Broadway LLC, was represented by David Volk and Bruce Suppes, also with CBRE.

 

Devereux Arizona has leased 3,143 SF of office space at Pima Professional Plaza located at 5700 Pima St. in Tucson. The tenant was represented by David Montijo with CBRE’s Tucson office. The landlord, 2222 Craycroft LLC, was represented by Aubrey Finkelstein with Vast Commercial Real Estate.

 

Bio-Medical Applications of Arizona LLC has leased 13,592 SF of office space at Fifth & Jefferson Center located at 5555 E. Fifth St. in Tucson. The tenant was represented by David Montijo and Jeff Casper with CBRE’s Tucson office and Jim Greene in CBRE’s Denver office. The landlord, Fifth & Jefferson LLC VVV LC, was represented by Melissa Lal and Andy Seleznov with Larsen Baker.

RimRock2030, WEB

CBRE Completes $18.4M Sale of Rimrock at ASU Research Park

CBRE has negotiated the sale of the leasehold interest in Rimrock at ASU Research Park in Tempe, Ariz. The two-building, ±83,764 SF office complex located at 2030 and 2050 E. ASU Cir. in Tempe. commanded a sale price of $18.4M. The project was 93 percent leased at time of sale.

 

Bob Young, Steve Brabant, Glenn Smigiel and Rick Abraham with CBRE’s Phoenix office in conjuncture with Craig Coppola, Andrew Cheney, Bill Blake and Colton Trauter with Lee & Associates brokered the transaction on behalf of the seller, Rimrock Investors II of Phoenix. The buyer was Las Vegas, Nev.-based W Tempe, LLC.

 

Rimrock is an excellent investment opportunity in Tempe and in one of most prominent business parks in the metro area,” said CBRE’s Glenn Smigiel. “ASU Research Park benefits from a unique partnership shared with Arizona State University which aids in fostering tenant growth by providing direct access to ground-breaking research, educational opportunities, faculty, and a young, educated technology minded workforce.”

 

Developed in 2007 by Rimrock Partners (Dean Riesen, Managing Partner and Ron Moore, Partner), the two building office complex is leased to three tenants, including Iridium Satellite, a global mobile satellite company; KINETX, an engineering, technology, software development and business consulting firm specializing in aerospace systems; and Comsys Information Technology Services, a wholly owned subsidiary of Manpower, Inc. Rimrock sits on ±10.10 acres and is comprised of two class A office buildings totaling ±25,457 square feet (2030 Building) and ±58,307 square feet (2050 Building) that also include flex and R&D space for the current tenants.

 

Rimrock is situated in ASU Research Park which is located at Elliot Road and the 101 Freeway in Tempe. The 320-acre business park is considered one of the most notable business addresses in the Phoenix metropolitan area and is home to numerous corporate headquarters and R&D facilities providing a corporate and technology hub for southeast Phoenix.

Castle Hot Springs, WEB

Historic Castle Hot Springs Resort Sold for $1.95M

CBRE has directed the successful sale of the former Castle Hot Springs resort located in Yavapai County, Ariz. In an online auction held on February 27th, an entity composed of Phoenix-area businessmen purchased the historic, desert oasis property for $1.95 million.

“The buyer is presently reviewing all options for the future use of the property,” said Dave Headstream with CBRE’s Land Services Group in Phoenix, who in conjunction with CBRE Auction Services, worked on behalf of the seller, New York City-based EktornetUS, a susidiary of Swedbank. The buyer was Delaware-based CHS3, LLC.

Opened in 1896, the ±210-acre Castle Hot Springs resort was considered one of the premier resorts in the United States, attracting prominent families such as the Roosevelts, Vanderbilts, Wrigleys, and Astors. Listed on the National Register of Historic Places, the property features ±210 acres, nestled in the shadows of the Bradshaw Mountains, five miles from Lake Pleasant Regional Park. The former world class resort contains a lush lawn containing ±550 majestic 100-year old palm trees, a ±125,000 gallon swimming pool, tennis courts, expansive mountain views, a ±4,800 square foot administrative building, and ±2,000 square foot three-bedroom guest house with maintenance building and horse stables. Perhaps its most notable feature is the 118° natural hot spring that produces ±180,000 gallons of pure water per day, which were believed to have mythical healing powers dating back to the 19th century.

2500 S. Power Rd.

CBRE Sells Two Office Condominiums in Superstition Springs Village

CBRE has completed the sale of two office condominiums at the Fairways at Superstition Springs Village located at 2500 S. Power Rd. in Mesa, Ariz. The units, which totaled 8,100 square feet, commanded a sale price of $955,000.

Andrew Fosberg with CBRE’s Phoenix office negotiated the sale on behalf of the seller, Diego Rodriguez of Coral Gables, Fla. The buyer was Gilbert, Ariz.-based La Familia Management and was represented by Bob Winegar and Lance Richards with Pierpont Realty Group.

The property is one of 20 free-standing office buildings at the Fairways at Superstition Springs. Fully leased at time of sale, the building’s tenant mix includes Wells Fargo Advisors; American Family Insurance; Goodale Law Firm, a locally owned divorce and family law practice; and Dahn Yoga & Health Centers, Inc., a national leader in health and wellness.

The Fairways at Superstition Springs is 20-building office complex comprised of condo-style buildings totaling 102,900 SF. The one- and two-story buildings offer variable floor plans as well as views of the nearby Superstition Springs Golf Club. The property benefits from proximity to extensive retail and restaurant amenities as well as access to US Highway 60.

Tempe Gardens

CBRE Multi-Housing Group Completes $3.5M in Phoenix-Metro Transactions

CBRE has negotiated two multi-family transactions totaling $3.25M. Brian Smuckler and Jeff Seaman with CBRE Phoenix’s Multi-Housing Private Capital Group represented both parties in each transaction.

Casa Monte Vista
Casa Monte, LLLP of Vancouver, British Columbia, Canada has purchased Casa Monte Vista, a 45-unit property located at 120 W. Dobbins Rd. in Phoenix, from Reliant Investments US, Inc. also of Vancouver. The asset commanded a sale price of $1.55 million.

Tempe Gardens
Sacramento, Calif.-based LCP Equity Partners, LLC has purchased Tempe Gardens, a 36-unit property located at 121 E. Broadway Rd. in Tempe, Ariz. The seller was Tempe Gardens 36, LLC of Los Angeles, Calif. The property commanded a sale price of $1.7 million.

Take the Lead launch at Gammage Hall

CLEAResult Leases 14KSF Office in Tempe

CBRE has negotiated a 14KSF lease at the Tempe Tech Center in Tempe, Ariz. The office space, located at 1401 S. 52nd St., will serve as a bilingual customer care center for CLEAResult’s CustomerLink operations.

Jamie Swirtz with CBRE’s Phoenix office represented the tenant, an Austin, Texas-based company that designs, markets and implements energy efficiency programs for utilities, governments, schools and businesses. The landlord, Travelers Insurance of Saint Paul, MN, was represented by Karsten Peterson with Jones Lang LaSalle.

“Tempe’s central location along with a strong, readily-accessible labor pool made this a great choice for CLEAResult’s CustomerLink program,” said CBRE’s Jamie Swirtz. “Additionally, the space was able to accommodate the company’s plans for growth.”

CLEAResult’s CustomerLink service provides customer support services for utilities across the US and Canada. CustomerLink currently employs 375 customer support professionals that handle more than 350,000 calls per month from utility end-user customers. Services provided include a full range of product and service support for energy efficiency programs, including program enrollment, lead generation, notifications and customer surveys.

Currently CLEAResult’s CustomerLink program employs 50 employees locally, and the company plans to add another 150 jobs in the next 12 to 18 months.

red-header-2014

RED AWARDS 2014: Best Tenant Improvement Project

On Feb. 26, AZRE hosted the 9th Annual RED Awards reception at the Arizona Biltmore in Phoenix to recognize the most notable commercial real estate projects of 2013 and the construction teams involved. AZRE held an open call for nominations and more than 100 projects were submitted by architects, contractors, developers and brokerage firms in Arizona. Click here to view all 2014 RED Awards Winners.‎


Fennemore Craig
Developer: Fennemore Craig
Contractor: Ryan Companies
Architect: Gensler
Brokerage: CBRE
Size: 120,000 SF
Location: 2394 E. Camelback Rd., Ste. 600, Phoenix
Completed: February 2013

fennemore-craigAfter 12 years as a midtown Phoenix law firm, favorable market conditions encouraged Fennemore Craig to make a move to the dynamic and amenity-rich Camelback Corridor, taking the opportunity optimize space by decreasing its overall square footage by approximately 20 percent. The reduction in square footage was accomplished through careful curtailment of file storage and secretary-to-attorney ratios, and the design of destination locations with dual uses in client-facing areas. Given the size and atypical floor plate of the building selected, the project became a planning and efficiency challenge. Rather than segregating the angularity of the exterior glass wall, the client chose instead to celebrate it. Navigating shifting budget priorities and constraints, the team utilized lower-cost systems furniture in secretary stations, reused attorney office furniture from the firm’s existing location, and simplified attorney wall elevations. The end result of this challenging project is a flexible space home to Fennemore Craig’s clients and colleagues, as well as an inviting location for community, social and charitable events.

red-header-2014

RED AWARDS 2014: Best Redevelopment Project

On Feb. 26, AZRE hosted the 9th Annual RED Awards reception at the Arizona Biltmore in Phoenix to recognize the most notable commercial real estate projects of 2013 and the construction teams involved. AZRE held an open call for nominations and more than 100 projects were submitted by architects, contractors, developers and brokerage firms in Arizona. Click here to view all 2014 RED Awards Winners.‎


Continuum Science & Technology Park
Developer: Capital Commercial Investments, Inc.
Contractor: RSG Builders
Architect: PHArchitecture
Broker: CBRE
Size: 463,584 SF
Location: 2501 S. Price Rd., Chandler
Completed: January 2013

continuumThis state-of-the-art business and technology campus is part of the foundation for thousands of future jobs in Chandler. Intended to make Chandler and Metro Phoenix competitive on a national and global scale, it is designed to house corporate offices, customer service operations, advanced business services, technology, bioscience, and renewable energies. The City of Chandler endorsed and became an integral partner in the redevelopment process and made joint investments in the park infrastructure and horizontal improvements to further encourage the location of signature companies and high-wage jobs to the park. The former Motorola campus was renovated to include a new three-story atrium lobby, curtain wall glass, upgraded HVAC systems and a high-quality electrical and fiber infrastructure in order to meet Continuum’s proclaimed mantra: “where environment meets progress.”

West Star Plaza, WEB

CBRE Completes Sale of West Star Plaza

CBRE has completed the sale of West Star Plaza, a ±9,300 SF retail building located at 4131 N. 83rd Ave. in Phoenix. The asset commanded a sale price of $725,000. The property was fully leased at time of sale.

Jesse Goldsmith and Steve Julius with CBRE’s Phoenix office represented the seller, Robert J. Tufts, trustee of the Robert J. Tufts Revocable Living Trust of Salem, Oregon. The buyer, Phoenix-based Arhtom Investments LLC, was represented by Paul Blum of Patriot Commercial Properties.

The fully occupied West Star Plaza features a tenant roll that includes a mix of local tenants as well as a corporate Little Caesar’s Pizza and DolEx Money Transfer. Located in West Phoenix, West Star Plaza benefits from a mix of residential, shopping and entertainment options within minutes of the property, including Desert Sky Mall and Ak-Chin Pavilion.

4707 E. Baseline Rd., WEB

CBRE Negotiates 90KSF Industrial Lease

CBRE has negotiated a 90,152 SF office/warehouse lease at 4707 E. Baseline Rd. in Phoenix.

Pat Feeney, Dan Calihan and Rusty Kennedy with CBRE’s Phoenix office represented the landlord, Dalfen America Corp. of Westmont, Quebec, Canada. The tenant, a San Carlos, Cailf.-based distributor of electrical products, was represented by Mike Parker, Evan Koplan, Pete Wentis and Kevin Cosca, also with CBRE.

We were extremely fortunate to find an existing facility that met the tenant’s location and physical parameters in a moment in time where we could advance their overall strategic objective of consolidating a few scattered business units into a centralized Metro Phoenix distribution center,” said Mike Parker, industrial specialist and first vice president with CBRE. “We were able to meet their strategic objective two years earlier than initially planned and realize cost savings in a much shorter time frame than anticipated.”

The tenant’s newly leased space comprises approximately 25,000 square feet of office space, with the remaining 65,000 square feet being warehouse and distribution space. The electrical product distributor will operate a regional office and central distribution center from this location.

This corporate image industrial building constructed in 1996 was acquired by Dalfen America Corp. in August 2013. The property benefits from excellent access to the I-10 freeway, arterial street presence and proximity to Phoenix Sky Harbor International Airport. The building is now 66 percent leased with the tenant taking occupancy May 1st; the property has 47,000 square feet of available space.