Velocity Retail sells Wendy’s and Wienerschnitzel
Velocity Retail Group completed the $2,876,000 NNN investment sale of two ground leased properties at the Heritage Square shopping center in Queen Creek. The parcels are located at the southeast corner of Rittenhouse Road and Ellsworth Road in Queen Creek. The shopping center is a joint venture between Wadsworth Development Group and Accelerated Development Services who purchased the 14.5 acre site at the end of 2015 and developed the center over the last three years. Other tenants in the center include, Goodwill of Central Arizona, Palette Collective, Salad and Go, Bridgestone Firestone and Sodalicious.
Velocity Retail Group’s Dave Cheatham, Darren Pitts, and Eli Castronova, represented the Seller in the transaction (Wadsworth Queen Creek, LLC), the single-purpose entity of Wadsworth Development Group and Accelerated Development Services. The Buyer, Trevellyan Investment Company L.P. was represented in the transaction by Brandon Trevellyan, from Capital Real Estate Ventures, Inc.
The Wendy’s and Wienerschnitzel are located on frontage pads in the center. The Wendy’s is built on a 1.01 acre parcel, and opened in the fall of 2017. Wienerschnitzel is under construction and slated to open in the first quarter of 2019 on a 1.02 acre parcel.
“The property is well located in a growing trade area in the southeast valley. The tenants are well-known national brands and are generating a long term income stream for the buyer,” said Castronova. “This transaction filled the goals for both the buyer and seller, and we were pleased to be able to bring the parties together,” he added.
Velocity Retail Group helps acquisition of former Sam’s Club
Velocity Retail Group’s Darren Pitts, Executive Vice President, represented At Home in the purchase of the former Sam’s Club located at 15255 N. Northsight Blvd., Scottsdale, Arizona. The building totals 129,466 square feet on approximately 13.1 acres.
“We are pleased to assist At Home in their acquisition of an exceptional location in North Scottsdale. This former Sam’s Club adjacent to the Scottsdale Airpark at the 101 / Raintree interchange will allow At Home to serve new customers in the Northeast Valley including the communities of Desert Ridge, North Scottsdale, Paradise Valley, Carefree, and Cave Creek,” said Pitts.
This will be the seventh Arizona location for At Home, which is based in Plano, Texas. Velocity Retail has worked with At Home on their store locations in the Phoenix area since 2007. The retailer has plans to add additional stores in major markets in Arizona as Velocity Retail continues to look for new opportunities for them. Today At Home operates over 165 locations in 30 states.
Parkway Village in Goodyear sells for $2M
Parkway Village, a 16,640 square foot shopping center located at 15605, and 15633 West Roosevelt Street in Goodyear, Arizona, has sold for $2,000,000. Kidder Mathews commercial real estate broker, Jenette Bennett, CCIM, represented the seller, Parkway Village Partners, LLC, in the transaction. The buyer was Simplified Properties, a NNN leased investment group.
This was an off-market, value-add retail sale in a fast-developing part of Phoenix’s West Valley. Due to the vacancy, the buyer secured short-term seller financing with the intent to refinance quickly. Two lease letters of intent were generated during the due diligence, and the buyer plans to spec build two additional vanilla shell suites. There is also an opportunity for a sale or build-to-suit on a 48,995 square foot pad included on the property.
“Buyers are looking for value-add investments, and there must be strong fundamentals to differentiate from a property that is distressed,” said Bennett. “This property is in a strong retail corridor, near I-10 and across from Wal-Mart, with current leasing activity, so the prospect of bringing it to 100% occupancy is high with an infrastructure investment,” she said.
Royal Suites Park in Phoenix sells for $2,050,000
Royal Suites Park, a two-story, 29,462 square foot office building located at 3233 West Peoria Avenue in Phoenix, Arizona, has sold for $2,050,000 to Page Holdings, LLC, an investment group. Kidder Mathews commercial real estate broker, Jenette Bennett, CCIM, represented Page Holdings, LLC in the transaction. The seller was Viel Gluck, LP and Far Marel, LLC.
This was a value-add sale of a 75 percent occupied building. The property has strong fundamentals of Peoria Avenue street frontage, monument signage, and ample parking to maintain high occupancy. The previous owner made some improvements to the property and the buyer, who will occupy a portion of the building, plans to continue with renovations.
The property has had vacancy throughout the years, but the Peoria Avenue/Metrocenter corridor, where it is located, has been gaining momentum and recent investment sales have been above-market prices. The trade area is an active and diverse market. Most of the existing inventory is older, but there are new retail and office developments under construction.
ORION represents seller in Biltmore Corridor sale
Situated on the southeast corner of Missouri Avenue and 12th Street, this 8,700 square foot, mid-century style office property closed for $1,275,000, or $147 per square foot. 1215 East Missouri Avenue office features three, single-story buildings and sits on approximately 1.06 acres of land. There is potential for redevelopment using the existing R-5 zoning. It is located less than one mile from the SR-51, near the Biltmore Fashion Park, and less than 15 minutes from Phoenix Sky Harbor International Airport.
Nick Miner, CCIM, and JT Taylor of ORION Investment Real Estate exclusively represented the Seller, BGP II, L.L.C. Miner said, “Seller is a long-time client and needed to expand. The cost to retrofit the property exceeded the amount Seller was wanting to reinvest into the property in the short term.”
“We selected the Buyer, Moulin Investments, LLC, after receiving several competitive offers.” ORION’s marketing efforts produced several offers in a short period of time. “At the end of the day, this Buyer was selected because not only did they meet the terms, but they also agreed to the terms that were equally important.”
The Buyer, Moulin Investments, LLC, was represented by Courtney Auther Van Loo of Phoenix Commercial Advisors.
Infill Camelback Corridor shops trade at $466 per SF
Closing for $4,050,000, or $466 per square foot, this investment offered the Buyer a rare opportunity to purchase a stabilized asset while taking advantage of the meteoric growth of the surrounding submarket. Long-term tenants include 7-Eleven, Ye Old Pipe & Tobacco, Fit Optical and Noble Eatery, providing a diverse mix of e-commerce resistant tenants.
Ari Spiro, Sean Stutzman, and Larry Kush of ORION Investment Real Estate facilitated the sale. “With over 2,500 apartment units recently constructed in the trade area, and another couple of thousand planned or under construction, this solid infill location is becoming even more ‘infill,'” noted Ari Spiro, ORION’s President. “We are excited to have accomplished the Seller’s goal while providing a Buyer the rare opportunity to acquire a well-maintained, smaller retail investment in one of the most dynamic sub-markets in the Phoenix area,” continued Spiro. The Buyer, KCS Arizona, LLC, was a recent transplant from Seattle, Washington with a strong hospitality-operations background.
The Seller, represented by Spiro and Stutzman, was Santa Fe Arms, LLC. Locally-based in Yuma, the investors purchased the property in 2014, increased the occupancy, and took advantage of the hot market for strip retail in prime locations. The Buyer, represented by both Larry Kush of ORION and Sunhee Lee of Cambridge Properties, was KCS Arizona, LLC.
Campbell Shops at 24th is a 100% leased retail center located in one of the most sought after locations in Arizona. This infill property services the neighborhoods of Biltmore, Paradise Valley and Arcadia, as well as the booming business hub known as the Camelback Corridor.
Capstone Advisors purchases Deer Valley property for $6.64M
Cushman & Wakefield announced that Capstone Advisors of Carlsbad, Calif. purchased First Rose Garden Commerce Center, two multi-tenant industrial buildings totaling 73,317 square feet. San Diego-based CALCAP Advisors Inc. sold the property located at 21002 N. 19th Avenue and 1950 W. Rose Garden Lane in Phoenix for $6.64 million.
Steve Lindley, Bob Buckley, Tracy Cartledge and John Pompay of Cushman & Wakefield’s Phoenix office negotiated the transaction on behalf of the seller.
First Rose Garden Commerce Center offers street frontage exposure, as well as efficient grade-level loading with flexible space configurations. At the time of sale, the property was 87.2% leased to eight tenants. Completed in 1981, the property was fully redeveloped in 2005.
“The property is located at one of the highest profile intersections in the high-demand Deer Valley submarket,” said Lindley. “Both Rose Garden Lane and 19th Avenue offer direct freeway access to Interstate 17 and the Loop 101. The irreplaceable location perfectly positions First Rose Garden for strong long-term performance.”