Tag Archives: Land Advisors

AZRE Source

AZRE Source: The private land grab

It is obvious the Valley is landlocked, but not all of that land is up for grabs.

Only 17 percent of land in Arizona is private land available for development. The public state trust owns a majority of the undeveloped land in the state.

“I felt this is a well-kept secret,” said Kuldip Verma, CEO of Vermaland, one of the largest landowners in Arizona.

This will cause a scramble for land as developers try to tie up the remaining land and, once those are spoken for, developers will have a difficult time to find land for their projects, Verma said.

“As Phoenix grows, it will eventually become landlocked. You just cannot make any more land, and everything requires land,” Verma said.

As the population grows land development will be forced around the state parcels that are not up for auction. The State Trust determines what land goes up for sale with the goal of maximizing profits for the state.

“You need to pay attention to the State Land Department,” said Nate Nathan, president and broker of Nathan & Associates.

About 200,000 acres a year are auctioned statewide and there is no way to predict what land will go to auction, Nathan said.

Much of the Valley is backed up against state-owned land. However, there is land in the path of growth in the West Valley that can accommodate the growth, said Greg Vogel, CEO and founder of Land Advisors, the nation’s largest brokerage company focused exclusively on land.

The West Valley is the only area in the Valley that isn’t landlocked, and experts believe we will see a majority of future development in this area.

“It is estimated the West Valley will capture about 42 percent of permits over the next few years,” Nathan said.

The population of Phoenix is expected to add one million people every 10 years. The general consumption of land as the population grows is one acre for land for every six people, Vogel said.

Vermaland’s strategy is to buy land about 10 to 15 miles outside of existing development that is strategically located and has characteristic that will appeal to developers, Verma said.  Most of its land is raw and undeveloped, Verma said.

“You can buy land at an extremely low per acre price and then develop it and sell it for a very high return,” Verma said.

As the Valley grows, development pushes outward and these raw areas become prime real estate.

When buying and selling land, developers consider availability to utilities, transportation and access, Vogel said. New freeways are dissecting the Valley and we can expect new development to occur at these off ramps.

Development will follow these freeways, job listings and a cooperative government that supports economic development, Vogel said.

Arizona can also expect to see growth up as it grows out, getting denser in downtown Phoenix, Tempe and Scottsdale.

Rancho Vistoso

Land Advisors reports recent transactions

RANCHO VISTOSO | Oro Valley, Arizona

Offering: 140 gross acres (2 closings – 48 acres and 92 acres)
Location: Rancho Vistoso Blvd, in Oro Valley, Arizona
Sales Price: $13,600,000 total
Seller: Vistoso Partners
Buyer: Mattamy Homes Arizona
Agents: Will White and Greg Vogel

Offering: 12.79 acres
Location: E/SEC of Alma School Road and Loop 202 in Mesa, Arizona
Sales Price: $3,510,000
Seller: Equity National Real Property Investments
Buyer: D.R. Horton
Agents: Bret Rinehart, Ryan Semro and Ben Heglie


PASEO RIDGE PHASE I & II | Goodyear, Arizona

Offering: 122 acres
Location: NE/SE of Yuma Road and Perryville Road in Goodyear, Arizona
Sales Price: $6,511,050
Seller: Van Leeuween Farms LLC
Buyer: Melcor Developments Arizona
Agent: Greg Vogel, Bret Rinehart, Ryan Semro and Ben Heglie
CRYSTAL VISTA PHASE I | Buckeye, Arizona

Offering: Phase I Improved Lots – 83 (53′ x 115′) & 38 (58′ x 115′)
Location: S/SWC of Broadway Road and Apache Road in Buckeye, Arizona
Sales Price: $3,630,000
Seller: Metro CV 300
Buyer: LGI Homes-Arizona
Agent: Bret Rinehart, Ryan Semro and Ben Heglie

Ocean front property in the pacific side in Cabo San Lucas, just beside Diamante Cabo and Rancho San Cristobal.

Land Advisors lists resort-ready oceanfront property in Mexico

Land Advisors Resort Solutions (LARS) is brokering the sale of resort-ready, oceanfront property in Cabo San Lucas, Mexico.  The specific parcel, known as San Jose Pacifica, envelops more than 1,200 acres and is situated just seven miles west of the popular Cabo San Lucas Marina district.

“With its views, its location and its development opportunities, San Jose Pacifica has potential that can’t really be measured,” Bill Rosengarten, LARS partner and vice president of sales, said.  “Cabo San Lucas is one of Mexico’s top tourist destinations, which truly raises the profile of this incredibly attractive property.”

At the tip of the Baja Peninsula, San Jose Pacifica features a one-mile stretch of uninterrupted beach frontage, ultimately meeting the Pacific Ocean on the south.  For development purposes, the property is divided into two parcels, each offering unique opportunities for future growth.

Beyond its oceanfront positioning, an 840-acre parcel comes with entitlements for three resort hotel sites, high-end amenities such as an 18-hole championship golf course, and space for more than 800 residential units.  The second, and smaller, 387-acre parcel is tucked a half-mile inland and features direct access to the region’s new toll road.

Cabo San Lucas, known for its beaches and marine life, is also near the Sea of Cortez, which comes alive during the winter as pods of whales return to the waters for birthing season.  U.S. News and World Report ranks the city as one of the top resort destinations in the country, noting its presence of luxurious resorts and ample opportunities for golf.

The Loop 303 interchange is under construction. Photo courtesy of ADOT.

Headed for a boom, the West Valley is ready to go

Clumps of curved freeway fragments balancing on massive pillars of concrete resemble a giant modern art sculpture greeting Interstate 10 travelers through the far West Valley of the Phoenix Metro.

Later this year, those “art” segments will gel into a multi-level interchange linking the I-10 and the Loop 303, and launch the area’s burgeoning commercial development into warp speed.

Kevin Czerwinski, Merit Partners

Kevin Czerwinski, Merit Partners

The new interchange “will be a game changer,” said Kevin Czerwinski, president of Merit Partners, broker for the 1,600-acre, master-planned business park PV303, which straddles the confluence of those roadways and stretches north along the Loop 303 to Camelback Road.

For nearly a decade, the West Valley, loosely defined as everything west of Interstate 17, has been quietly emerging as the metro area’s hotbed for commercial development. It has been fueled by dwindling East Valley land availability and affordability and better transportation access. After completion of the Loop 101, developers quickly gobbled up land along the freeway for homes, shops and businesses. Then they continued the westward expansion.

Now the Loop 303 is offering another close-in frontier and shovel-ready options for new and growing businesses to expand or set down roots in the metro area. The nearly completed semi-circle of highway linking the I-10 and the I-17 will provide a high-speed route to northern states, bypassing metro area traffic congestion — a boon to companies like Dick’s Sporting Goods, which recently completed a 720,000 SF distribution center in PV303 to service its Western U.S. stores, Czerwinski said. And to other retailers such as Macy’s, TJ Maxx/Marshall’s and Target, e-commerce giants such as Amazon, and high-end manufacturers such as Sub-Zero and Cookson Doors that ferry lots of merchandise intra- and inter-state.

It’s more than just big-box industrial sites popping up in the West Valley.

John Graham, Sunbelt Holdings

John Graham, Sunbelt Holdings

Acres of farm land or empty desert hide the fact that in the offices of forward-thinking developers and savvy city economic strategists, there are detailed plans for office, light industrial and retail centers, medical complexes and regional malls to be built on that un-shoveled land.

“The West Valley’s day is coming,” said John W. Graham, president of PV303 developer Sunbelt Holdings.

Sunbelt was a big player in the East Valley boom of the 1990s and early 2000s, developing residential communities from McDowell Mountain Ranch in Scottsdale to Power Ranch in Gilbert and mixed-use complexes such as Hayden Ferry Lakeside in Tempe. Graham says the same scenario is playing out west of Phoenix now. Land Advisors CEO Greg Vogel compares Goodyear today to Gilbert of a decade ago.

First came the houses
As available and affordable East Valley land dried up, a spate of residential building in well-designed West Valley communities such as Vistancia, Estrella and Verrado have attracted home buyers at all price points, Vogel said.

Greg Vogel, Land Advisors

Greg Vogel, Land Advisors

A whopping 35 to 40 percent of Phoenix metro area residents now live in the West Valley, Vogel said. And all those people need places to shop, bank, and find medical care.

“Residential drives everything,” he said.

Now supermarket-anchored shopping centers and big-box power centers are springing up, two regional malls are on the drawing board, and spec office buildings are breaking ground — despite Valleywide office vacancy rates topping 22 percent. The completion of the Loop 303 interchange will accelerate that trend as it eases drive time for those who work in Phoenix but live in the far West Valley — or want to, Vogel said.

Goodyear, which is in the enviable location at the foot of the new interchange, has been proactive pitching its bounty. That includes PV303 and Goodyear AirPark, a 267-acre, shovel-ready business park at Litchfield Road and Highway 85, said Sheri Wakefield-Saenz, the city’s development services director. And Wakefield-Saenz expects Westcor’s long-planned 1.1 MSF Estrella Falls regional mall to start ringing up sales — and sales tax — in 2016.

Sheri Wakefield-Saenz, Goodyear

Sheri Wakefield-Saenz, Goodyear

Wakefield-Saenz predicts that even more executive offices, high-end retail and high-quality manufacturing businesses will clamor for space in Goodyear during the next decade because of the in-place infrastructure and the educated workforce already living there.

Farther north in Surprise, the story is similar. In 2008, Sands Chevrolet built the first dealership in Prasada, a 4-square-mile, mixed-use development straddling the Loop 303. Now car buyers can shop at eight different dealerships at 303 AutoShow. And more are coming, said Jeff Mihelich, Surprise’s assistant city manager in charge of the Community and Economic Development Department. Neighborhood shopping centers are in the ground or on the drawing board as well, and another regional mall is pegged to land in Prasada, although no date has been announced.

Jeff Mihelich, Surprise

Jeff Mihelich, Surprise

But Mihelich doesn’t want to just provide shops and services and ease the daily commute for Surprise residents. He wants to lure more quality office and industrial employers so that residents can live, work and play in their hometown. Five years ago, Surprise reorganized its economic development department and goals to focus on becoming a major employment base, “concentrating on head-of-household jobs — people who will buy homes, go to restaurants,” he said. Major strategies included streamlining approval processes, persuading developers to pre-plan projects and build infrastructure before target tenants showed up, encouraging spec building, and aggressively marketing all those attributes, Mihelich said. That positions Surprise to take advantage of pent-up business expansion plans as the recent recession wanes, he said.

“When companies are expanding, they often have contracts in hand,” he said. Having property ready to build on can mean the difference between landing or losing a major employer, he said.

Optimistm Abounds
That optimism and pre-planning is not just happening in Goodyear and Surprise. Thanks to a wealth of available and affordable land, developers are eyeing West Valley cities from Avondale and Buckeye to Peoria and Glendale as future business hubs.

Justin Miller, Alter Group

Justin Miller, Alter Group

The Alter Group teamed up with property owner John F. Long to take advantage of the area’s growing popularity among home builders and buyers by developing three major business parks to attract employers. Algodon Center is a 1,000-acre mixed-use campus in Avondale and west Phoenix, Aldea Centre is a 150-acre business park at 99th Avenue and Bethany Home Road, and the 229-acre Copperwing Business Park is adjacent to Glendale Airport. All three have infrastructure and zoning in place and the flexibility to accommodate Class-A, back-office and light manufacturing operations, said Justin Miller, Alter Group vice president.

“The West Valley is a big component of our future,” Miller said. “It’s an area that Corporate America can use and expand because of the abundance of land.”

He’s not concerned about high office vacancies in the metro area. The easy commute for all those road-weary West Valley residents and shovel-ready land are compelling draws for big and small employers as they ramp up their businesses, he said. Valley dwellers who haven’t ventured west of the I-17 for years might be surprised to see the explosive growth.

“If people have not been to the West Valley in a while, they should come and take a look at us,” Mihelich said. “It’s truly a robust market. People outside of Arizona are noticing.”

Talking Rock Ranch Compound, Land Advisors

Joint Venture to Expand Talking Rock in Prescott

The Scottsdale-based firm Land Advisors Resort Solutions, which is a division of the Land Advisors Organization, recently facilitated a joint venture partnership in Prescott.

The venture is between Talking Rock’s existing developer, Harvard Investments, and a new development and equity partner, The True Life Companies of San Ramon, Calif., to further the expansion of the community, its building program and new amenities as part of a long term development strategy. Talking Rock is a fully-amenitized, award winning golf course community originally developed by Talking Rock Land, LLC, an entity of Scottsdale-based Harvard Investments. The current real estate offering at Talking Rock includes custom homesites, custom homes, low maintenance Ranch Cottages and new model homes by Geoffrey Edmunds. True Life Companies plans to increase new home construction, new model home designs and new golf course custom homesite releases over the next 24 months.

Ben Jenkins, principal of LARS, said the recent transaction represent the firm’s diverse resort community asset brokerage and resort retail sales and marketing services.

Under the leadership of Jenkins, Land Advisors Resort Solutions has generated more than $50M in resort real estate sales since 2012. The firm’s roster of national clients include FireRock Country Club in Fountain Hills, Ariz.; Quintero Golf and Country Club in Peoria, Ariz.; Cornerstone Club near Telluride, CO; Victory Ranch in Kamas, Utah; Black Rock in Coeur d’Alene, Idaho; Hale Mua in Maui, Hawaii; KIP Lake Keowee near Greenville, SC; and Boot Ranch in Fredericksburg, TX.