Lee & Associates Arizona announced today that the Fincham Dempsey Team has arranged the sale of the Tuft & Needle Corporate Headquarters and retail showroom building for $8.73 million. Jan Fincham and Patrick Dempsey facilitated the transaction on behalf of the seller, SimonCRE Chisum III, an entity of Scottsdale-based developer SimonCRE. The buyer, Retail Realty Fund was represented by Property Group International.
Located in Downtown Phoenix at 701 N. Grand Ave., the 36,000-square-foot historic building was originally constructed in 1917 and served as home to the O.S. Stapley hardware store, which closed in 1962. The building was later used as an appliance store, industrial repair and car shop before being shuttered and then brought back to life most recently as a retail showroom and office space.
The property was purchased in 2012 by SimonCRE, and was renovated as an adaptive re-use creative office space for the headquarters of Tuft & Needle, a Phoenix-based e-commerce and manufacturing company founded by Daehee Park and John-Thomas Marino.
“The Tuft & Needle building was attractive to the investor because of the quality adaptive re-use renovation by SimonCRE, the stability of a long-term lease to nationally recognized tenant Tuft & Needle, and the location in the heart of the vibrant Downtown Phoenix Redevelopment Area,” said Fincham.
This was just one of several properties that SimonCRE owns in the area. The developer also owns a 5,000-square-foot redevelopment project adjacent to Tuft & Needle, and recently closed on the 8,800-square-foot former Paper Heart Gallery at Grand Avenue and Polk Street.
“This sale really shows the strength of the Grand Avenue District and the demand in the area,” said Joshua Simon, Founder and CEO of SimonCRE. “We’re hoping that this district begins to emerge as a vibrant hub similar to Roosevelt Row.”
Between 2004 and 2017 more than $5 billion of private and public capital was invested in Downtown Phoenix, creating a vibrant urban core with a revitalizing live-work-play environment that attracts about six million visitors to the area’s arts, sports, cultural, hospitality and entertainment venues each year.
