Tag Archives: Cotton Center

Cotton Center

Buchanan Street Partners Purchase Phoenix Portfolio for $52.6M

Buchanan Street Partners, an active buyer of value-add office and industrial real estate, has purchased a 446,000 SF portfolio from Carlson Real Estate Company for $52.6M, or $118 per square-foot. The 10-building portfolio was acquired in four separate sale transactions and includes a mix of office, industrial, office flex and retail properties. Three of the acquisitions occurred in Cotton Center, one of the most desirable master-planned business parks in Phoenix, while the fourth involved an industrial property in Avondale, in the Southwest Valley submarket.

The Buchanan Street acquisition is part of an ongoing investment strategy in the Phoenix area, and brings the firm’s portfolio there to more than 1.2 million square feet of commercial space. “This investment underscores our ongoing commitment to invest in Phoenix and select Valley submarkets,” said Tim Ballard, president of Buchanan Street Partners.

“The improving market fundamentals and the high caliber of tenants in these properties make this an attractive acquisition for us,” added Ballard.

The Phoenix metropolitan area added 50,700 jobs in the 12 months ending April 2013 according to Moody’s, who expects job growth to remain at this pace annually through 2016. Industrial vacancy rates have declined from a peak of 15.9 percent in 2009 to the current figure of 11.3 percent, while office vacancies have declined by more than 3 percent since 2011.

“Cotton Center provides tenants with abundant amenities, a central location and high-quality buildings,” said Brian Payne, vice president at Buchanan Street Partners. “This is another example of Buchanan Streets’ ability to identify investment opportunities and close in a timely fashion.”

The sale of the portfolio, which was 74 percent leased at the time of the sale, was represented by Eastdil Secured.

Liberty Property Trust

Liberty Property Trust Buys 3 Buildings In Phoenix And Tolleson

Liberty Property Trust recently purchased three  Class A buildings for its Arizona portfolio: a flex building in Phoenix and two industrial buildings in Tolleson.

“By the close of 2011, our portfolio was nearly 100% leased,” said John DiVall, senior vice president and city manager for Liberty Property Trust’s Arizona region. “We had a number of inquiries from companies – including many in our current portfolio – seeking larger amounts of industrial and flex space, and we anticipate that the acquisition of these properties will be met with enthusiasm in the marketplace.

“Additionally, these acquisitions are consistent with our local strategy of adding well-located assets, at below replacement cost, to our region’s portfolio,” DiVall added.

Liberty Property Trust purchased an empty flex building at 9801 S. 51st St. in Phoenix from GE Capital last month at an investment of approximately $4.3M. The property is a 71,550 SF state-of-the- art call center located just a half-mile from the Interstate 10 freeway at Elliott Road.

On the same day that Liberty Property Trust purchased the building, the company also signed UPS to a new lease for 29,181 SF of space.  This brought occupancy to 41%. UPS has been a Liberty tenant in several regions across the country over the years.

Liberty Property Trust was represented by Karsten Peterson of Cushman Wakefield. The tenant was represented by Steve Corney of Jones Lang LaSalle of Phoenix.

At Ancona Tolleson Center in Tolleson, Liberty Property Trust purchased two industrial buildings from E&V Investments for approximately $17M. The first is a 219,225 SF facility located at 8591 W. Washington St. (above photo) that is 39% occupied. The second, a 184,096 SF building located at 8601 W. Washington St., is 74% occupied.

In this deal, Liberty Property Trust was represented by Mark Hertzberg of Jones Lang LaSalle and the seller was represented by Bob Beardsley of Southwest Commercial Brokerage.

At the close of 2011, Liberty Property Trust also purchased a 46,725 SF industrial flex building at 921 S. Park Lane in Tempe from Hohokam Park, LLC for approximately $2.7M. The property, which was fully occupied at purchase, is now available for lease. Bill Bayless and Andrew Brigham of CBRE represented the seller and have been retained by Liberty Property Trust to lease the building.

Liberty Property Trust owns 1.7 MSF of industrial and office space in Arizona. Major holdings include Cotton Center in Phoenix, Liberty 303 Business Park in Goodyear, the LEED Gold 8501 E. Raintree Dr. in Scottsdale and Ryan West Business Park in Tolleson.

For more information on Liberty Property Trust, visit www.libertyproperty.com