Tag Archives: Chandler Corporate Center

Garmin, Chandler, WEB

Garmin opens new research, development office in Chandler

Garmin International Inc., a unit of Garmin Ltd. (NASDAQ: GRMN), the global leader in satellite navigation, Friday formally opens its new 60,000 square foot research and development facility in the Chandler Corporate Center.

“We are delighted to open such a state-of-the-art research and development facility here in Chandler,” said Merlin Smith, director of auto OEM software at the Garmin Chandler facility. “We chose to expand in Chandler because there is a large population of highly-skilled engineers here locally – and we have very much appreciated the support of both the city and state throughout this process.”

The new facility, located near McClintock Drive and Chandler Boulevard, is LEED Gold-certified and contains space for offices and research and development labs. Currently, approximately 130 associates work in the Chandler office, and this expansion will allow the office to gain an additional 141 new engineering and R&D jobs, as business conditions warrant.

The Chandler office supports Garmin’s software engineering needs, including aviation, automotive OEM, and desktop applications. Garmin has been an employer in the greater Phoenix area for more than 15 years, and has been leasing office space at a nearby office in Chandler for five years. The new facility represents $11 million in new capital investment.

“Chandler welcomes Garmin’s expansion here as we continue to grow our research and development community with solid, progressive employers,” Chandler Mayor Jay Tibshraeny said. “Leading edge firms like Garmin choosing to locate and expand in Chandler show that we continue our commitment to bring the best companies and jobs to our community.”

Garmin was founded in 1989 and employs more than 10,000 associates globally. The company designs and manufactures a wide range of consumer electronics, many of which are enabled with GPS. Its product portfolio includes wearable fitness and wellness devices, GPS-enabled high-definition action cameras, and navigational products for pilots, boaters, hikers, hunters, and drivers.

ChandlerCorpCenter, WEB

Palisades Private Capital Fund acquires Chandler Corporate Center

Palisades Private Capital Fund 1, a $50-million Fund created by Palisades Mexico Partners (PMP), has acquired Chandler Corporate Center, a two-story, 67,561-square-foot Class A office asset in Chandler, Ariz., for $13.9 million.

PMP is a joint venture of Joaquin de Monet, founder and managing principal of Palisades Capital Realty Advisors, LLC, an investment management and advisory firm, and Sergio Argüelles, president/CEO of Monterrey, Mexico-based FINSA, one of the foremost industrial real estate development firms in the Americas.

“Chandler Corporate Center is a well located, attractive office building with sustainable features that provide the tenants with economical operations and a comfortable, healthy work environment,” said Argüelles, a Mexican real estate mogul who transformed his family-owned company into a highly successful real estate development firm in Mexico. “The asset offers our investors a stabilized, secure and growing cash flow, with the opportunity for significant rent increases as the market continues to improve,” he added.

“Growth in the region’s high-tech sector has boosted job growth, beginning in the last quarter of 2013,” explained de Monet, a successful and seasoned executive with expertise in large global real estate investments and property management. “This upturn in Chandler’s economy is increasing demand for office space and this acquisition is in the right place, at the right time,” he noted, “offering an opportunity to invest in the right cycle of the market.”

Situated on 7.24 acres at 585 North Juniper Drive northwest of Chandler Boulevard and McClintock Drive, this LEED-certified building, which was built in 2008, is PMP’s first investment in the Arizona market.  The property provides tenants, including MediServe Information Systems, STA Travel and Garmin International, Inc., ample open and canopied, surface parking spaces with an excellent 6.63:1000 parking ratio.

Jones Lang LaSalle handled the transaction for both the seller, Held Properties, Inc., and PMP.

Palisades Private Capital Fund I, which has raised $50 million in private capital and is on target to increase the Fund to $100 by yearend, is focusing on value-add, Class A and B office assets in growing western suburban markets. The Fund initially will acquire institutional-quality office assets in Southern California, Arizona and Texas. Besides the Chandler asset, PMP recently acquired a property in Southern California: 2929 Imperial, a two-story, 121,143-square-foot, office building in Brea, for $20.8 million.

PMP’s capital campaign is connecting with high net-worth individuals and family offices specifically in Mexico and Latin America. PMP will accumulate a diversified pool of suburban office properties priced below replacement cost, with solid in-place cash flow and average 75% occupancy. De Monet and his team at Palisades Capital will source investments and manage the Fund, improving the assets, creating value and capturing rent growth over the targeted hold period of three to five years.

hayden_ferry_lakeside

Cassidy Turley releases Q2 ‘Market Snapshots’

Cassidy Turley has released its Q2 market snapshots for Phoenix.

The brokerage firm reported the following market trends: “The metro Phoenix economy continues to post positive gains, adding 24,000 net new jobs year-over-year through the second quarter 2014 with a total employment base of 1,830,000 jobs. Moody’s recently raised its employment forecast for year end 2014 and now expects 40,600 net new jobs this year, compared to 38,600 net new jobs originally forecasted at the beginning of the year. As employment levels rise, the metro Phoenix unemployment rate improved year-over-year, declining 110 basis points to 5.9%. The metro Phoenix unemployment rate continues to outperform the national unemployment rate of 6.1%.”

Office

Highlights: Office vacancy has dropped below 20%, a first since 2008. At the end of Q2, 2.18MSF of office property was under construction. Four new projects broke ground, three of which were speculative construction (Chandler 202, Hayden Ferry III and Chandler Corporate Center).

Industrial

Quick Hit: By the end of Q2, nearly 3MSF of industrial property was under construction. During the quarter, 10 new projects broke ground (half of which were build-to-suit).

Retail

Highlights: At Home and Hobby Town’s occupation in the northwest Phoenix submarket contributed significantly to 460,845 SF of positive net absorption in Q2. Vacancy declined 10 basis points, finishing the quarter at 12.1%. Year-end net absorption is expected to be 2.5MSF and vacancy to drop below 12 percent, which hasn’t happened since 2009.

ChandlerCorpCenter, WEB

Chandler Corporate Center sells for $13.9M

Capital markets experts in the Phoenix office of JLL have completed the $13.914 million sale of Chandler Corporate Center I, a 67,561-square-foot Class A office property in Chandler, Arizona. The sale price breaks the $200-per-square-foot mark for suburban office space—a significant indicator according to JLL.

JLL Senior Managing Director Dennis Desmond represented the property seller, Chandler HFP, LLC, an affiliated entity of Held Properties, a California real estate development firm. Palisades Capital Realty Advisors is the property buyer. JLL Managing Director Dave Seeger serves as the project’s exclusive leasing broker and partnered with Desmond to market the property for sale.

“This building came out of the ground in 2008 and has outperformed the Phoenix and Chandler markets ever since,” said Desmond. “This includes through the toughest office market recession we’ve ever experienced. That is evidence of the strength of the Chandler market and was a tremendous draw for investors looking for stable acquisition properties located in high-growth markets.”

According to JLL research, in the four years from 2009 to 2012, Chandler was responsible for 66 percent of Greater Phoenix’s total office space absorption. At year-end 2013, Chandler Corporate Center I was only 8.5 percent vacant, compared to an overall Chandler submarket office vacancy rate of 13.9 percent and an overall Phoenix office market vacancy rate of 23.9 percent.

“When it comes to the velocity of our recovery, Chandler is definitely one of our market’s bright stars,” said Seeger.

Chandler Corporate Center I is located at 585 N. Juniper Drive in Chandler, northwest of Chandler Boulevard and McClintock Drive, and with direct access to the Loop 101 and Loop 202 freeways, and the burgeoning Price Road technology corridor. The two-story building totals 67,561 square feet with a 6.63/1,000 parking ratio, modern office construction and benefiting from the area’s highly educated labor pool.

JLL will retain the leasing assignment at the property and assume the property management responsibility.

500 N  Juniper, DAUM, WEB

Wallace, Plese + Dreher relocates to Chandler Corporate Center

DAUM announced May 22 that Wallace, Plese + Dreher (WP+D), one of the leading certified public accounting firms in Arizona, will move its office to Chandler Corporate Center and occupy 10,549 SF of office space. The expected move-in date will be in August.

DAUM Commercial Real Estate Services represented Wallace, Plese + Dreher, the
lessee, in the lease of a 10,549 SF office located in the Chandler Corporate Center in Chandler, Ariz.. Kirk Jenkins of DAUM’s Phoenix office represented Wallace Plese + Dreher in its leasing of the building located at 500 N. Juniper Dr.

The Rockefeller Group, owners of the building, is also relocating its southwest offices to the building.

“The new location will accommodate the firm’s growth and capitalize on a well-educated work force,” said Mark Dreher, WP+D co-founder and partner. “Another reason for the decision included the location being in a high-tech business community. Chandler’s enhanced infrastructure supports advanced business services and knowledge industries, which reinforces the firm’s commitment to client service through the
Valley and Arizona.”

Phil Breidenbach of Colliers represented landlord, RG McClintock LLC, a Rockefeller Group entity.

Chandler Corporate Center, WEB

OneTrust Leases 5,900 SF at Chandler Corporate Center

The Rockefeller Group announced today that OneTrust Home Loans / OneTrust Senior Lending has signed a lease for approximately 5,900 SF of office space at Chandler Corporate Center. The 67,140 SF, Class-A speculative office building, developed in 2009, is now 84% leased.  Chandler Corporate Center is a master-planned business park at the northwest corner of McClintock Drive and Chandler Boulevard in Chandler.

“The Rockefeller Group welcomes One Trust Home Loans and One Trust Senior Lending to Chandler Corporate Center and the Southeast Phoenix market,” said Mark Singerman, Regional Director at The Rockefeller Group’s Phoenix office.  “The strong recovery of the housing market in Phoenix and its suburbs will no doubt allow for mortgage companies like OneTrust to succeed in the region.”

OneTrust is hoping that this is the first of many expansions for the company in Southwest Phoenix. “Arizona is an area that we have targeted for expansion for a while and adding a significant team of mortgage professionals to the area is an exciting development for our company,” said Joshua Erskine, Co-Founder and CEO of OneTrust Home Loans and OneTrust Senior Lending.  “Chandler Corporate Center provides us an opportunity to start out with a well-suited office but with additional buildings coming online at the site in the next few years, we have an opportunity to grow and expand in the same office park.”

Phil Breidenbach, SIOR, of Colliers International’s Phoenix office represented the Owner and is currently marketing the remaining 10,700 rentable square feet in the building. Mike Hoeck of CBRE in San Diego represented the Tenant.