CBRE, on behalf of a joint venture between Phoenix-based ViaWest Group and New York-based Taconic Capital Advisors, has arranged the sale of the 127,612-square-foot, Deer Valley Financial Center in Phoenix. The Rodriguez Family Trust of Los Angeles, a 1031 exchange buyer, acquired the Class A office asset for $22.15 million.
Barry Gabel, Chris Marchildon and Will Mast of CBRE Institutional Properties in Phoenix, and Geoff Turbow, Matt Pourcho and Anthony DeLorenzo of CBRE Investment Properties-SoCal/Phoenix, represented ViaWest Group in the transaction. The property drew multiple offers from both private and institutional groups, resulting in a sale above listing price.
“In addition to wrapping up a successful investment, we’re excited to continue property management of such a uniquely-positioned asset and assist the new owner in achieving their investment objectives,” said ViaWest Group Partner Danny Swancey. ViaWest provides property management for over 5 million square feet of commercial real estate throughout the Southwestern U.S.
Built in 2001, the two-story Class A office building features a contemporary common area and lobby, new tenant amenity lounge, an on-site café and bank, and a parking ratio of 4.6 spaces per every 1,000 square feet. The tenancy represents a diverse range of businesses specializing in financial services, health management, and technology among several others.
“With the purchase of Deer Valley Financial Center, the buyer is acquiring a stabilized, best-in-class, office project with recent common area upgrades, located in one of the most robust submarkets poised for appreciation, and at a significant discount to replacement cost,” said CBRE’s Gabel. “Furthermore, the collaboration between CBRE Institutional Properties and CBRE Investment Properties-SoCal/Phoenix was seamless.”
Located at 22601 N. 19th Ave. in Phoenix, the property is centrally located within an Opportunity Zone in the Deer Valley office submarket. Deer Valley Financial Center is less than two miles northeast of the Loop 101 and Interstate 17, providing immediate access to metro Phoenix’s deep labor pool. Within a three-mile radius, more than 23,000 people hold financial services and financial technology jobs, according to CBRE Research. There are more than 400 companies in his sector located within the submarket, including, USAA, Consumer Cellular, Farmers Insurance and Paychex, all of which have expanded to the area in recent years. Additionally, more than 3.1 million people, or 70 percent of the population of Maricopa County can access the property within a 40-minute commute.
Deer Valley Financial Center is adjacent to the Phoenix Deer Valley Airport, one of the busiest general aviation airports in the country. Positioned within the amenity-rich Deer Valley submarket, Deer Valley Financial Center is one mile south from more than ±1.1 million square feet of retail, restaurant, hotel and shopping amenities.