Tag Archives: colliers international

The District at Biltmore

Colliers completes $13.25M sale of Biltmore property

Colliers International in Greater Phoenix recently completed the $13.25 million sale of 150,000 square feet of buildings located on 4.4-acres of property in Phoenix. The property will be razed and a new upscale multifamily community constructed on the land.

Kaplan Acquisitions LLC of Scottsdale purchased the property, located at 4602 N. 24th St.

Colliers International brokered the off market transaction in less than nine months. Kim Soulé, vice president, represented the seller. Fennemore Craig, P.C., a leading Mountain West law firm for business with an office in Phoenix served as the seller’s legal counsel. Jerry Tenge, senior vice president, represented Kaplan Acquisitions.

Kaplan Acquisitions, a division of the M. Kaplan Companies in Houston, plans to demolish the existing buildings and begin construction on the District at Biltmore project before the end of the month. The community will include 227-units in a four-story building with an attached parking garage and resort-like amenities. The one- and two-bedroom units will range in size from 600 to 1,475 square feet. First occupancy is anticipated in early 2017.

“Unit amenities include many new items for the Biltmore area, including 12-foot ceilings on all first floor apartments, a pet spa for animal grooming, bicycle storage and repair station, fenced dog park and observation deck,” said Tenge.

“This was a very emotional transaction for the seller as it owned the property since the 1940s and served the community through its operations there for over 50 years.  Unfortunately, the increasing costs to maintain the services and building were too cost prohibitive to keep it going,” said Soule’.

Siena Apartments

P.B. Bell acquires Siena Apartments in Phoenix

P.B. Bell, a leader in multi-family housing development, management and acquisitions, has acquired the Siena apartment community in Phoenix in a joint venture purchase with New York City-based Stonecutter Capital Management LLC.

P.B. Bell and Stonecutter Capital Management purchased the 352-unit community from Siena Baseline Partners LLC for just over $31 million.  Cindy and Brad Cooke of Colliers International in Phoenix brokered the deal. Chicago-based NXT Capital LLC financed the sale. Prior to the sale, P.B. Bell managed the community.

“Siena presented an excellent acquisition opportunity for P.B. Bell, one that offered all the hallmarks of a community where we would like to have an influence.” Philip Lake, P.B. Bell’s director of acquisitions, said. “Siena has a lot of potential, and we look forward to upgrading the property for our residents.”

P.B. Bell will begin a $2.68 million renovation of the property soon.

The community, located at 4520 E. Baseline Road in Phoenix, was built in 1986.  It is close to nightlife, shopping and dining, schools and has easy access to both the I-10 and U.S. 60 freeways.  Siena offers one, two and three-bedroom floor plans, ranging in size from 444 square feet to 1,070 square feet.

P.B. Bell previously partnered with Stonecutter Capital Management in August 2014 on a $169.5 million transaction that bundled 2,759 apartment units across seven communities.  Several of the properties within that portfolio have since undergone millions of dollars worth of improvements, from landscaping and roofing upgrades to clubhouse and fitness center remodels.

123rf.com: Tim Wege

Colliers completes the sales of multifamily complex

Colliers International in Greater Phoenix recently completed two sales for one buyer, Investment Property Associates (IPA) of Grand Haven, Mich. The buyer purchased the 395-unit Sienna Springs apartment complex for $20.5 million and the adjacent Willowick Square office building for $5.9 million, both in Phoenix.

Both properties are located on the southwest corner of North 16th Street and Colter Street within a mile from the Camelback Corridor. IPA plans to redevelop the sites with high-end multifamily and senior apartments, and possibly some mixed-use components.

Liv Biltmore LLC, an entity of IPA, purchased Sienna Springs, 5120 N. 16th Street, from P.B. Bell (Bellstone VII LLC) of Phoenix. The same buyer acquired Willowick Square, at 5150 N. 16th St., from Presson Advisory LLC of Phoenix.

“We are, again, glad to work with IPA on this transaction and look forward to watching their vision for this unique community become a reality,” said R. Chapin Bell, chief executive officer of P.B. Bell.
Both transactions were brokered by Cindy Cooke, senior executive vice president, and Brad Cooke, senior vice president, both with Colliers International.

“Historically, Phoenix has been known for its sprawling suburbs and outward expansion; however, developers are refocusing their attention toward the urban infill location,” said Cindy Cooke, adding, “These highly desirable sites provide tenants with walkability to restaurants, shopping, entertainment and employment in the Camelback Corridor.”

Eric Johnston, IPA partner and president of its senior housing operating arm, Retirement Community Specialists (RCS), said, “Our desire is to work with the city to create a multigenerational campus, comprised of both a Liv multifamily and a Generations senior living community, where residents can move through various life stages without having to move from the neighborhood that has become their home.”

IPA partner Scott Brooks added, “There is an exciting transformation happening in that area and we believe our unique approach modeled after true village-style living will really complement the vision and growth of the neighborhood.”

The properties face 16th Street, which has been one of the most active redevelopment areas in Metropolitan Phoenix with many new restaurants, retail establishments, multifamily developments and other convenient amenities. The location provides residents with ample retail and business employment opportunities along Camelback Road. The Metro Light Rail is 1.7 miles away and State Route 51 is also nearby.

Sienna Springs
Built in 1973 and renovated in 2006, the Class B, garden-style complex is comprised of 17 one- and two-story buildings, totaling 201,298 square feet, on 10.20 acres of land. The open grass courtyards are complemented by a clubhouse, three swimming pools, a volleyball court, canopied playground, barbecue grills and picnic areas.

“Sienna Springs is located in the heart of one of the most dynamic livable areas within the Metropolitan Phoenix area. Very few multifamily communities have this combination of a central location, with excellent retail options, restaurants, theaters and other conveniences less than a mile away. It is the only 10-acre site within a five mile radius,” Cooke noted.
Willowick Square
The buyer’s acquisition of Willowick really enhances the 10.2-acre site of Sienna Springs. It is a perfect corner piece giving its location on the corner of 16th Street and Colter, adjacent to Sienna Springs.

Built in 1974, Willowick Square is a Class B office complex, consisting of 53,417 square feet on a three-acre lot.


Colliers International completes sale of 1,114-Unit portfolio

The Cooke Multifamily Team at Colliers International in Greater Phoenix recently completed the sale of the 1,114-unit, AZ 3 multifamily portfolio in Phoenix. The value-added properties total 989,463 square feet and combined acreage of 44.56.

The size of this Class A and Class B+ portfolio attracted attention from investors around the world. The deal was awarded to an affiliate of BHE Acquisitions, LLC of Des Moines, Iowa by Bascom Arizona Ventures of Scottsdale. The portfolio included:

Estates on Maryland
1802 W. Maryland Ave., Phoenix
330 units

Madera Point
445 S. Dobson Road, Mesa
256 units

Pointe at the Foothills
4424 E. Baseline Road, Phoenix
528 units

Cindy Cooke, senior executive vice president and Brad Cooke, senior vice president of Colliers International, served as the brokers for the seller. The buyer was self-represented.

“The seller had recently completed major renovations and was achieving significant income growth which continued throughout the transaction,” said Cindy Cooke, adding, “It will be exciting to see the plans executed by the buyer. They have a vision to further enhance the renovations and complete the interior upgrades.”

Colliers Cooke Team was hired by Bascom Arizona Ventures of Scottsdale due to its strong track record of closing portfolios. The team provided attentive support to the buyer and seller to ensure they were well informed and received exceptional service and delivery of world-class expertise. This combined with the strategic navigation of skills allowed a team approach between all parties for a seamless transaction.

“The execution of this transaction was flawless on both the seller and the buyer side—it was an honor and a pleasure working with both of them,” added Brad Cooke.



Colliers International completes $20 million investor sale

Colliers International in Greater Phoenix recently completed the sale of a 313,600-square-foot cross-dock distribution warehouse in Phoenix for $20.32 million, or $64.80 per square foot.

CAM Industrial Fund Acquisition Fund, LLC, an affiliate of Cohen Asset Management Inc., of Los Angeles, Calif., purchased the property, located at 4550 West Watkins Street, from Kansas City Life Insurance Company of Kansas City, Mo.

Executive Vice Presidents Don MacWilliam and Payson MacWilliam with Colliers International brokered the transaction for the buyer and seller.

“Cohen Asset Management has been aggressively purchasing quality assets in Phoenix and this is a strong addition to the company’s portfolio,” said Don MacWilliam.

Cohen Asset Management is a private real estate investment firm that acquires, owns, develops and manages industrial properties in many major markets across the United States. The company is an active owner-operator focused almost exclusively on the industrial sector. Headquartered in Southern California, Cohen’s also has a regional office in Northern New Jersey.

The warehouse is located in the Riverside tax district in Phoenix’s lower Buckeye area. The 19.70-acre lot is situated on the northwest corner of 45th Avenue and Watkins Street. The building was developed by Kansas City Life and built by Sun State Builders of Phoenix.

“The smaller cross-dock configuration benefits the tenant, OMCO Solar,” MacWilliam said. The structure has a clear ceiling height of 30 feet, 102 dock doors and 7200 amps of available power.

The distribution warehouse is 100-percent leased by OMCO Solar, a division of OMCO Holdings of Wickliffe, Ohio. Established in 2009 in Phoenix, OMCO Solar produces custom mounting structures for commercial and utility solar applications. OMCO Solar developed the first steel fabrication especially for the solar utility market and has been assisting in innovations for solar panel design and construction since its inception.

National League of Cities Gathering

Second quarter 2015 brokerage reports

With the closing of the second quarter and first half of 2015, brokerages around the Valley provided their numbers and predictions for the last and next six months in various commercial sectors.

Cushman & Wakefield
Marcus & Millichap
Colliers (Office)

Colliers (Medical Office)

Cushman & Wakefield

Colliers International

Colliers Greater Phoenix
Colliers Tucson
ABI Multifamily

Colliers Greater Phoenix

123rf:  Andriy Popov

Colliers completes long-term lease for Avesis Incorporated

Colliers International in Greater Phoenix recently represented Avesis Incorporated in a long-term office lease totaling +/- 55,501 square feet at the Corporate Center, located at 10400 North 25th Avenue in Phoenix.

The tenant was represented by Todd Noel, CCIM, executive vice president with Colliers International. The landlord, Bob Olshan, vice president and Phoenix office head for Crown West Realty, represented the ownership, Crown West Realty, LLC.

Avesis is an administrator of healthcare programs for vision, oral and hearing health. Founded in 1978, the company has grown nationally to offer a comprehensive product line of healthcare benefits designed for commercial as well as Medicaid and Medicare Advantage market sectors.

Avesis chose to consolidate its two existing Phoenix offices and relocate to the Corporate Center to accommodate the growing need for additional space. The building offers a centralized location for both its employees and customer base.

“The Corporate Center offered Avesis an opportunity to occupy a full floor of the building. The large, efficient floorplates and heavy parking ratio, along with the building’s high-end finishes, made this the most attractive option in the marketplace for my client,” said Noel, who has exclusively represented the tenant for more than 10 years.

El Pedregal, Scottsdale
Photo by Robin Sendele, Az Big Media

Big Deals: Retail/Sales, July-August 2015

It’s the big deals, and the brokers who make them, that make the market an interesting one to watch.

In every issue, AZRE publishes the top five notable sales and leases that have occurred one month out from publication based on research compiled by DTZ and Colliers International with CoStar.

1. El Pedregal, Scottsdale
62,310 SF; $47,431,846
Buyer: Columbia Sussex Corporation
Seller: Hilton Worldwide Holings, Inc.
Listing Brokerage: Hodges Ward Elliott, Inc.

2. Villages at Shea, Scottsdale
116,956 SF; $32.5M
Buyer: YAM Properties, LLC
Seller: Karlin Scottsdale Shea LLC
Listing Brokerage: DTZ

3. Sears, Chandler
141,032 SF; $26,938,488
Buyer: The Macerich Company
Seller: Sears Holding Corporation

4. Sears, Glendale
97,874 SF; $22,984,013
Buyer: The Macerich Company
Seller: Sears Holding Corporation

5. Marketplace at Lincoln & Scottsdale, Scottsdale
22,081 SF; $14M
Buyer: Hannay Realty Advisors
Seller: Covington Asset Management
Listing Brokerage: ORION Investment Real Estate

Monroe Tribute Awards Winner

Big Deals: Multi-Family/Sales, July-August 2015

It’s the big deals, and the brokers who make them, that make the market an interesting one to watch.

In every issue, AZRE publishes the top five notable sales and leases that have occurred one month out from publication based on research compiled by DTZ and Colliers International with CoStar.

1. 44 Monroe, Phoenix
249,504 SF; 184 units; $50.65M
Buyer: HSL Properties, Inc.
Seller: Winthrop Realty Trust
Listing Brokers: Tyler Anderson, Sean Cunningham, Asher Gunter and Matt Pesch, CBRE

2. Stone Canyon, Mesa
358,168 SF; 392 units; $47M
Buyer: ORR 1 Mesa LLC
Seller: SCI Real Estate Investments
Listing Brokerage: CBRE

3. Pillar at Rock Canyon, Peoria
249,504 SF; 184 units; $36.2M
Buyer: The Ergas Group
Seller: Private Portfolio Group, LLC
Listing Brokerage: CBRE

4. Cabana on Thomas, Phoenix
249,504 SF; 184 units; $24.35M
Buyer: Abacus Capital Group LLC
Seller: Deco Communities
Listing Brokerage: Deco Communities

5. Green Leaf at Dana Park, Mesa
231,910 SF; 222 units $22.1M
Buyer: Green Leaf Capital Partners
Seller: Virtu Investments
Listing Brokerage:  Marcus & Millichap


Phoenix corporate headquarters sell for $5.9M

Colliers International in Greater Phoenix recently completed the sale of a 63,400-square-foot state-of-the-art office, showroom and warehouse building for $5.9 million, or $93.05 a square foot. The Phoenix flex industrial building currently houses Facilitec Inc. which provides interior office products, design and project management.

King Ranch Properties II, LLLP of Phoenix traded the asset, 4501 E. McDowell Road, to Theory R. Properties, LLC of Southern California, through a 1031 exchange transaction.

Marc Bonilla, a vice president in Colliers’ Scottsdale Office, represented the seller in the transaction. Mike Milic, also a vice president in Colliers’ Scottsdale Office, represented the buyer.

The transaction marks the second time Bonilla has been involved in this property. In 2003, Bonilla sold Facilitec to King Ranch in a sale leaseback transaction.

Bonilla said the timing for the current trade was right for Ed King of King Ranch Properties as he is shifting his focus to assisted living development in the West Valley with his son-in-law, Steve Stratagulios.

“We successfully navigated through a disposition strategy with multiple moving parts while the market fundamentals strengthened in the net lease sector. At the same time the long-standing tenant recommitted to a 12.5 year absolute NNN lease,” Bonilla said. “While serving the tenant’s needs, the asset met the buyer’s criteria to provide secure long-term cash flow.”

“The market recovery and a newly refreshed pro-business environment continue to assist companies such as Facilitec in taking advantage of quality space build outs,” Bonilla said.


Big Deals: Land/Sales, July-August 2015

It’s the big deals, and the brokers who make them, that make the market an interesting one to watch.

In every issue, AZRE publishes the top five notable sales and leases that have occurred one month out from publication based on research compiled by DTZ and Colliers International with CoStar.

1. Paradise Ridge, Phoenix
49.6 acres; $35M
Buyer: Camden Property Trust
Seller: Arizona State Land Department

2. NWC 91st and Deer Valley Rd., Peoria
78.93 acres; $17,276,000
Buyer: Maracay Homes
Seller: Communities Southwest

3. Pyramid Peak Parkway, Peoria
82.08 acres; $10.43M
Buyer: Lennar Homes, Inc.
Seller: Arizona State Land Department

4. Golden Sands Farm, Gila Bend
160 acres; $10,270,490
Listing brokerage: Western Land Company

5. Lots 1-190, The Meadows, Peoria
53.22 acres; $9,307,956
Buyer: Woodside Homes
Seller: Communities Southwest
Listing brokerage: Nathan & Associates

Arrowhead Lakes Marketplace

Colliers completes $6M sale of triple net retail center

Colliers International in Greater Phoenix recently completed the sale of Arrowhead Lakes Marketplace, a 22,280-square-foot, grocery-anchored retail center for $6 million ($269.30 per square foot).

DCL Investments, LLC of Marreno, La., purchased the property, located at 20329 North 59th Avenue in Glendale, from AHR, LLC of Scottsdale.

Steve Gonzalez, senior vice president; Marcus Muirhead, vice president; and Greg Guglielmino, senior associate; all of Colliers International, represented DCL Investments LLC. The seller was self-represented.

The 92 percent leased Arrowhead Lakes Marketplace is located on 2.26 acres at the northeast corner of 59th Avenue and Beardsley Road, immediately north of Loop 101. It is part of a larger shopping center anchored by Albertsons.

“The property benefits from its location at the entry to the Arrowhead Ranch, an exclusive master-planned community,” said Gonzalez, adding, “It has a history of strong occupancy due to its location within this dynamic submarket.”

Photo by Mike Mertes, Az Big Media

Cindy Cooke – Most Influential Women In Commercial Real Estate

The 12 women who made AZRE’s Most Influential Women in Commercial Real Estate list are an extraordinary bunch. While that seems implied in the recognition, it’s something that goes beyond their professional achievements. Many of these women have held minimum wage jobs, slowly working through the ranks to a C-suite. A few have known the struggles of being a single parent and what it’s like to be the only female voice in a boardroom. All of these women are active in their communities and industry organizations. And, all of them are changing the Arizona landscape one deal, drawing and deadline at a time.

Cindy Cooke
Senior executive vice president
Colliers International
Years in the industry: 33+

Cindy Cooke leads one of the top multifamily brokerage teams in the country. Throughout her career, she has completed more than $2B in transaction volume. In 2007, she set the record for the largest apartment sale in Arizona history; the $427.5M, 5,178-unit, 12-property portfolio sale in Phoenix closed in 67 days. Early in her career, she started her own commercial brokerage and mortgage broker firm, where she was the sole proprietor for a decade. She now works on a team at Colliers International with her son, Brad.

What is the hardest professional or personal challenge you’ve faced and how did you overcome it?
Achieving the next level of success without comprising service to existing clients and family, seizing opportunities as they arise and building strong teams.

What do you consider your greatest professional accomplishment?
Still working on it.

What is your favorite part of your job?
Creating success for my clients.

When you were a child, what did you want to be when you grew up and how did that aspiration affect your career?
I knew I wanted to be in the real estate business. I never deterred from that goal.

What is one little-known fact about you?
I have an organic farm in North Carolina where we grow corn, wheat and soybeans.


Big Deals: Industrial/Sales, July–August 2015

It’s the big deals, and the brokers who make them, that make the market an interesting one to watch.

In every issue, AZRE publishes the top five notable sales and leases that have occurred one month out from publication based on research compiled by DTZ and Colliers International with CoStar.

1. White Star Portfolio, Phoenix
460,669 SF; $42,178,000
Buyer: The Realty Associates Fund X, LP
Seller: White Star LLC
Listing Brokers: Mark Detmer and Bo Mills, JLL

2. DMC Portfolio, Phoenix Metro
230,524 SF; $22.85M
Buyer: BH Properties LLC
Seller: Buchanan Street Partners
Listing Brokerage: DTZ

3. Canal Crossing Logistics Center, Phoenix
155,114 SF; $14.7M
Buyer: Bixby Land Company
Seller: Conor Commercial Real Estate
Listing Brokerage: Lee & Associates

4. 8700 E. Thomas Rd., Scottsdale
128,795 SF; $6.75M
Buyer: Wentworth Property Company, LLC
Seller: Andreas & Elisabeth Layher
Listing Brokerage: CBRE

5. Z Fahrenheit Building, Scottsdale
34KSF; $4,285,000
Buyer: 15690 N. 83rd Way, LLC
Seller: Z Fahrenheit Holdings, Inc.
Listing Brokerage: Airport Properties Specialists, LLC

Village at Via Linda

Colliers completes $3.75M sale of Scottsdale shopping center

Colliers International in Greater Phoenix recently sold Scottsdale’s 35,733-square-foot Village at Via Linda shopping center for $3.75 million as part of a 1031 exchange.

Arizona Partners of Phoenix, a real estate developer and investment firm, purchased the center, 8989 East Via Linda, from Village of Via Linda LLC of Los Angeles.

Colliers’ Scottsdale office brokered the transaction. Lauren Rodes, a former associate with Colliers, represented the buyer. The seller’s brokers were Mike Milic, vice president, and Tyler Bush, associate; both of Colliers.

The two-story shopping center with office space is situated on 2.67 acres. The center is approximately 60 percent leased to office and retail tenants, including two insurance companies as well as retail tenants such as a flower shop, a pet hotel and a Thai restaurant.

The center is in the “Cure Corridor,” an area along Shea Boulevard to the Scottsdale Airpark which contains a high concentration of bio-life science activity. The property also is south of the Honor Health Scottsdale Shea Medical Center (formerly Scottsdale Healthcare). Loop 101 is less than a quarter mile.

“Village at Via Linda is located in one of the most desirable submarkets in the entire metropolitan region,” Milic said. “It is located within McCormick Ranch, a mature and growing retail, office and residential area, near the Scottsdale Ranch and Gainey Ranch master-planned communities and the Cure Corridor. It is a highly attractive property.”

7th Street self storage

Colliers International completes $3 Million Phoenix land sale

Colliers International in Greater Phoenix recently completed the $3,050,000 million land sale of 3.17 acres near 7th Street and Indian School. The site will be re-developed as a 100,000 +/–square-foot self-storage facility with a small retail component on the site.

The William Warren Group Inc. of Santa Monica, Calif., purchased the land, located along 7th St. north of Indian School and near the VA Hospital, from the Gary D. and Kathleen Steele Trust of Phoenix.

The seller was represented by Troy Dixon of Dallas Real Estate, and the buyer was represented by Larry Ortega, executive vice president, and Daniel Ortega, vice president, both with Colliers International.

The William Warren Group acquires, develops and manages self-storage facilities in major metropolitan markets around the country under the name StorQuest.

“We worked closely with the Devonshire Neighborhood Coalition as well as city officials to create a plan to redevelop the central Phoenix site. In the end we had overwhelming support by the community and city council,” Larry Ortega said.

Photo: Mike Mertes, Az Big Media

After Hours: Wheelin’ and dealin’ Rob Martensen

Photo by Mike Mertes, Az Big Media

Photo by Mike Mertes, Az Big Media

Colliers International Senior Vice President Rob Martensen has been involved in more than 600 transactions, including industrial sales, leasing, build-to-suits and land sales, but when he isn’t making a deal he is in the driver’s seat.

How did you get into off-road racing?

I just grew up going to the races and got the opportunity to do it myself when I was in college and have been racing ever since.


What type of racing do you do?

I do desert racing mostly, which includes races like the Baja 1000. I have raced in 10 Baja 1000s and those are long-distance endurance races. I also race in short-course, off-road racing where there are cars all around you, flying over you and under you, flipping and crashing right in front of you. But, those races only last 14 laps, so 20 minutes and you are done. In the long races, you are in the truck for 10 to 12 hours at a time.

What is it like being in the driver’s seat?

A lot of people who played competitive sports when they were young will understand. There is a feeling you get inside before you hit the field; it is a nervous energy kind of a feeling. Most people after they graduate from high school do not get to experience that feeling again. Sure, there are pockets of adrenaline if you are going after a big deal or something you get kind of excited about, but nothing like that feeling you got before you stepped on the field. Racing is one of the ways to get that feeling again and I think that feeling keeps you young.

Is racing similar to business?

They are very similar, especially desert racing. You are out in the middle of the desert and if you have a problem with the truck or crash or something, you have to overcome that without anyone’s help. The biggest thing in desert racing is no matter what, you just always try to get to the finish. If your transmission breaks, you figure out how to get it fixed. If you get a flat tire, you change it. If you get stuck, you figure out how to get yourself out. You never give up. The Baja 1000 is like a real estate deal: you are excited at the beginning and then you start getting into it and you run into problems and work through those problems and when you get to the finish line, like when you close a deal, everyone is happy.

What is your best business advice?

Have fun doing what you’re doing. I like to mix my business with my fun. It is a lot more work to throw a big event at a race, but if I get one deal out of this the whole event pays for itself. If I don’t get a deal out of it, I still had a great time and I have given people an experience they probably would never have had. Mix business with pleasure and just have fun!


Top tenant representative Ruth Darby returns to Colliers

Colliers International in Greater Phoenix has announced the return of Ruth Darby, one of the area’s top tenant representation professionals, to its Phoenix office.

Darby, vice president, brings 16 years of in-depth corporate real estate experience. Darby has completed transactions in more than 30 markets throughout the United States and in Canada. She specializes in strategic planning, lease administration, project management and transaction management services on large national corporate accounts as well as single-location tenants.

In her new venture with Colliers, Darby will partner with Lindsey Carlson, vice president. The bulk of the team’s tenant representation is with technology companies, engineering firms and service corporations.

“Ruth and I have worked together in the past and perform really well together,” Carlson said, adding, “Ruth brings a new element of business development to our team.”

Darby previously served as a Colliers broker from 2004 to 2009. She was instrumental in advancing the “green” concept within Colliers. Working with the Green Building Group, Darby created many of the educational materials for Colliers University and served on the board for the U.S. Green Building Council’s Arizona Chapter, which conducted studies and implemented programs to help lower Colliers’ carbon foot print.

“We are very pleased to welcome Ruth back into the fold,” said Bob Mulhern, managing director of Colliers’ Phoenix office. “Ruth is a dedicated and skilled broker with an outstanding record of success and she will provide additional value and opportunities to our clients.”

Darby’s recent experience includes Newmark Grubb Knight Frank, where she was director of research and marketing for the Southwest region. She led both brokerage and property management’s research and marketing services in the Phoenix, Austin, Houston, Dallas, Portland, Seattle and Las Vegas offices.

“I am tremendously excited to be back with Colliers International, I’ve missed being on the brokerage side of the business,” Darby said, adding, “After being on the corporate side of the table, I am bringing a different point of view to the brokerage side, which is an added benefit for us in communicating and working with our clients.”

Darby also serves as an adjunct faculty member for Arizona State University’s Real Estate Development program. She is involved with the Arizona Commercial Real Estate Women (AZCREW), U.S. Green Building Council, AZ Technology Council and Women in Tech. She earned an MBA from the University of Phoenix.

Habitat X Before Picture

Scottsdale Airpark Plaza gets new design retrofit and rename

Colliers International in Greater Phoenix sold a 41,348-square-foot multi-tenant, Class B office building in Scottsdale for $4.232 million, or $102 per square foot. The former Scottsdale Airpark Plaza building is being fully redesigned, renovated and renamed Habitat-X (known as Hab-X).

EDU3 Ventures of Scottsdale and SHOP LLC of Phoenix purchased the building, located at 13430 North Scottsdale Road, from Charles Meyer of Tucson. The seller was represented by Mike Milic, vice president, and Tyler Bush, associate, of Colliers International.

Marc Bonilla, vice president in Colliers’ Scottsdale office, represented the buyers. Bonilla is also the president of EDU3 Ventures. Paul Johnson, former Phoenix city councilman and mayor, established SHOP LLC.

Built in 1985, Hab-X features a modern glass exterior with three floors and open roof-top deck with spectacular views that will be converted into a common space, lounge area for tenants to relax, collaborate and enjoy views of the Valley. Phase one renovations included replacing and/or repairing existing building elements improving the buildings operating efficiency, full exterior building redesign, remodeling of the first floor and underground garage.

Habitat X After Photo

Habitat X After Photo

With phase one nearing completion, phase two work has begun reconfiguring the second floor adding office and clinic space, which will become headquarters for Redirect Health of Phoenix. Founded by Johnson and Dr. David Berg, CEO of Arrowhead Health Centers, Redirect Health is a new healthcare company that provides customized healthcare solutions to help businesses navigate healthcare reform. Redirect Health is affiliated with Arrowhead Health Centers. The third and final phase including roof-top deck is finalizing design review and layout.

EDU3 Ventures was established by Bonilla two years ago focusing on redeveloping, design retrofit and conceptual adaptive reuse that appeals to the new generation of company owners and employees. This is the fourth successful project EDU3 Ventures has undertaken.

“Understanding the direction this market is moving certainly helps the success of EDU3 Ventures. There are so many unique adaptive opportunities in the Valley to repurpose for the next generation of users. I am humbled to have the ability with a great team to focus my passion and expertise to preserve its culture,” Bonilla said.

Bonilla’s company has multiple adaptive reuse projects in the East Valley expected to be delivered in 2016 and he is looking for more.

“EDU3 Ventures seeks out well-positioned infill adaptive or design reuse properties that we can redesign organically and re-tenant with innovative collaborative users that create a locally grown environment that we are proud of,” Bonilla said, adding, “The passion and thought behind our Hab-X concept was born from the need for this type of modern, open space design.  The passion and commitment behind our adaptive reuse projects is simply thinking differently and understanding my tenants needs.”

For further inquiries please contact Marc Bonilla at Colliers International, 480.596.9000 or Nita Bonilla at EDU3, 480.729.9013.


Colliers completes sale of luxury apartment complex in Florida

Colliers International in Greater Phoenix recently completed the sale of the 390-unit Grand Reserve at Park Isle, a gated Class A multifamily community in Florida.

Grand Reserve Borrower LLC of Dallas, Texas purchased the complex, located at 2600 W. Grand Reserve Circle, in Clearwater Florida from Standard Grand Reserve LLC of Arcadia, California.

The seller was represented by the Colliers Cooke Team, led by Cindy Cooke, senior executive vice president, and Brad Cooke, vice president, in Colliers International’s Phoenix office, which partnered with John Stone, principal and managing director, in the Colliers Clearwater office in Florida.

Built in 1998, Grand Reserve offers luxurious, spacious and well-appointed floor plans, from one to four bedrooms, with all units featuring full-size washers and dryers, kitchen design with island seating, crown molding, gas fireplaces, arched doorways, roman tubs, bonus rooms for office or library, 9-foot ceilings and tucked-under garages.

Floor plans average 1,175 square feet, with units ranging from one bedroom flats at 766 square feet to four bedroom units as large as 1,800 square feet.

The tropical resort landscaped grounds center around a tranquil lake and water features. The extensive amenity package includes a clubhouse, two resort-style pools, spa/hot tub, state-of-the-art fitness center, volleyball and tennis courts, movie theater, billiards room and dog park. Grand Reserve is 10 minutes from the much sought after Clearwater Beach.

Grand Reserve at Park Isle is centrally located to allow immediate access to several dynamic employment markets including six highly reputable medical centers and numerous business and education districts. Access to downtown areas of Clearwater and St. Petersburg are available via U.S. Highway 19, which connects with Gulf Bay Boulevard, the main road to the Westshore Business District and the city of Tampa.

“This high-end gated community has a density of only 14.44 units per acre which is hard to replace today in this infill location,” said Cindy Cooke, adding, “Grand Reserve truly feels like a resort within minutes of the beach.”

The Offices at Reems in Surprise were recently exchanged through a 1031 deferral, handled by Colliers International's Rob Martensen.

The great exchange: How 1031 exchanges affect local markets

With the talk of tax reform that would repeal or limit 1031 Exchanges, the global effect of changing like-kind deals is in the spotlight.

Section 1031 Exchanges, or like-kind exchanges, are used in commercial real estate to allow investors to reinvest their profits into a new property through an exchange of a similarly valued property and defer the taxes from the sale.

The proposed limitation in President Barack Obama’s 2016 budget would cap a deferral of capital gain at $1M.

“Historically, Section 1031 deferral has been justified on the basis that valuing exchanged property is difficult,” according to the U.S. Treasury Department’s general explanations of the administration’s 2016 budget. “However, for the exchange of one property for another of equal value to occur, taxpayers must be able to value the properties. In addition, many, if not most, exchanges affected by this proposal are facilitated by qualified intermediaries who help satisfy the exchange requirement by selling the exchanged property and acquiring the replacement property. These complex three-party exchanges were not contemplated when the provision was enacted. They highlight the fact that valuation of exchanged property is not the hurdle it was when the provision was originally enacted. Further, the ability to exchange unimproved real estate for improved real estate encourages ‘permanent deferral’ by allowing taxpayers to continue the cycle of tax deferred exchanges.”

“Every commercial property potentially could be a 1031 Exchange,” says Dave Tornell, vice president for Investment Property Exchange Services, Inc. (IPX 1031) in Arizona and New Mexico.

Colliers International Senior Vice President Rob Martensen closed three 1031 Exchanges last December, only one of which he believes would have been able to happen without the option of an exchange.

Tornell and Phoenix Commercial Advisors Senior Managing Director Chad Tiedeman project that about 40 percent of transaction volume is influenced by 1031 Exchanges. At PCA alone, the team’s three investment brokers sold 23 retail investment properties totaling more than $100M. Fifteen of those sales, a majority, had buyers who used 1031 Exchanges. Martensen and Tiedeman note that a significant percentage of buyers are Californians looking for higher cap rates.

A repeal of the tax section would raise tax burdens on those involved in transactions, which can lead to longer holding periods, reliance on debt financing and less productive deployment of capital in the economy, according to an Ernst & Young study released in March and commissioned by the Section 1031 Like-Kind Exchange Coalition.

“It’s important in general. It gives people more reason to trade a property,” says Martensen. “I don’t need to do the research to know that if 1031 were not allowed anymore, it would have a major impact on the economy.”

The largest 1031 Exchange last year occurred in New York City, when the Waldorf Astoria Hotel went for $1B. In Arizona, the largest exchange in 2014 was a $50M land deal.

“As for 1031 Exchanges in Arizona, we are close to 2004 levels,” says Tornell. “The market has recovered significantly from the bottom, which was 2009. During 2009, 2010 and most of 2011, 1031 transactions were almost nonexistent. Then, as the markets started to recover and every year since, we have seen an increase in 1031 activity. One of the larger qualified intermediaries had a 32 percent increase in transactions from 2013 to 2014 and the first quarter of 2015 is up over last year.”

Furthermore, Tiedeman, who does not support the proposed changes, adds that one-third of jobs in Arizona are tied to real estate in some capacity.

“If the law did get repealed, it would be devastating,” he says.

Orchard Pointe at Arrowhead, Courtesy of Colliers International

Senior care facility developer buys land in Arrowhead Ranch

Colliers International in Greater Phoenix recently completed a $2.23M sale of a 3.95-acre ($13 per square foot) commercial land parcel, where the 100-unit Orchard Pointe at Arrowhead senior care facility is planned.

Glendale Heritage LLC of Omaha, Neb., purchased the land, located just north of the northwest corner of Bell Road and 67th Avenue in the Arrowhead Ranch area of Glendale, from LC Coffee of Lincoln, Neb.

The seller was represented by Greg Hopley, executive vice president with Colliers International’s Scottsdale office. The buyer’s broker was Mark Huey, president of Telis Commercial Real Estate in Phoenix.

Glendale Heritage, part of Heritage Communities LLC, a developer and provider of senior living facilities, plans to build a 100-unit assisted living and memory care project at the site. This will be the second Heritage Community in the Valley; the first is in Surprise.

“This was an excellent opportunity for the buyer to purchase a quality infill site in the Northwest Valley,” said Hopley, adding, “The proximity to hotels, retail and residential developments of Arrowhead Ranch were very important to the buyer.”

Mountain West Contracting LLC of Phoenix has been selected to construct the Orchard Pointe at Arrowhead care center on the 172,062-square-foot parcel.

“It was an absolute win-win transaction for both buyer and seller,” said Hopley.

Heritage Communities has seven facilities in Nebraska and two in Iowa. Individual facilities provide different levels of care including independent, assisted and memory support living.

Rob Martensen, Photo by Mike Mertes for AZ Big Media

VIDEO: Colliers’ Rob Martensen competes in Lucas Oil race

AZRE magazine interviewed Colliers International in Greater Phoenix Senior Vice President Rob Martensen, who recently competed in the Lucas Oil Off Road Racing Series at Wild Horse Pass Motorsports Park in Chandler. Art Director Mike Mertes was there to film him in action on April 28. (Martensen is the blue vehicle before the end of the clip!)

Read a full interview with Martensen about his unique hobby in the July issue of AZRE.

Willow Springs Apartments sells for $13M

Colliers International in Greater Phoenix recently completed the sale of the 468-unit, Class C Willow Springs Apartments in Phoenix for $13.25 million or $28,312 per unit ($42.66 per square foot).

Resort on 27th LLC of Los Angeles purchased the property, located at 4715 N. 27th Avenue, from MLCFC 2007-7 North 27th Avenue LLC of Miami Beach, Florida.

Bill Hahn, Jeffrey Sherman, and Trevor Koskovich, executive vice presidents with Colliers International’s HSK Multifamily Southwest Team, represented both buyer and seller.

Built in 1986, the apartment community consists of 14 three-story buildings constructed on a rectangular-shaped site, situated on 13 acres. The property is north of Indian School Road, south of Glenrosa Avenue and west of the I-17.

Within 310,596 square feet of living space, the unit mix is 252 one bedroom/one bath, 108 two bedroom/one bath and 108 two bedroom/two bath apartments.

Unit amenities include walk-in closets, dishwashers, storage rooms and private balconies/patios. Common amenities at Willow Springs include a swimming pool, spa, laundry facility, fitness center, playground and 468 covered parking spaces, plus 280 additional open spaces.

A separate rental office and clubhouse are located at the west end of the property with visibility along 27th Avenue.

The frame and stucco buildings feature brick veneer and siding accents with pitched composition shingle roofs.