Marcus & Millichap (NYSE: MMI), a leading commercial real estate brokerage firm specializing in investment sales, financing, research and advisory services, announced today the sale of Ocotillo Apartments, a 173-unit apartment complex located at 1780 West Missouri Avenue in Phoenix, Arizona. According to Ryan Sarbinoff, regional manager of the firm’s Phoenix office, the asset commanded a sales price of $12,850,000.
Rich Butler, a Senior Vice President Investments in Marcus & Millichap’s Phoenix office as well as Sean Connolly, a multifamily specialist negotiated the sale on behalf of both the buyer and the seller.
“Ocotillo Apartments was a sold by a local apartment investor who purchased the property in 2012 in partnership with the City of Phoenix through their NSP3 program,” Butler explained. “We were able to critically analyze the impact of the LURA restrictions, aggressively price the project, broadly market the property through all relevant channels and present multiple offers to the seller who was motivated to step away from the constant City of Phoenix oversite.”
“We located the perfect first-time southern California buyer who quickly performed his due diligence and then patiently and intently navigated the shifting City of Phoenix approvals, the fluctuating Fannie Mae debt requirements, and the novel Covid-19 landscape,” Butler noted. “This non-profit company will continue to operate Ocotillo Apartments within the 22-year remaining affordable housing guidelines as his company has owned similar properties in California since 2010.” Marcus & Millichap closed Ocotillo Apartments within 98.5% of list price.
Built in 1972 and completely renovated in 2014, Ocotillo Apartments is comprised of studio, one and two-bedroom apartment homes, all of which feature updated kitchens, bathrooms, air conditioning units, energy-efficient windows and doors. This affordable housing community offers many amenities including a large pool area with an expansive clubhouse, two laundry rooms, covered parking and a dedicated leasing office. Connolly commented, “The project was completely renovated in 2014 with funding through a $4,800,000 City of Phoenix NSP3 loan, which set aside 118 affordable units through a LURA contract.”
Connolly added, “Conveniently located just east of 19th Avenue and south of Bethany Home Road, Ocotillo is within walking distance to the Phoenix Metro Light Rail which becomes an invaluable benefit to residents requiring transportation flexibility.” Also within walking distance is Christown Spectrum Mall which offers retail tenants such as Walmart, Costco, Target, Ross Dress for Less, Big 5 Sporting Goods and Harkins Theatres. Less than a mile to the north is Abrazo Central Medical Center which employs over 320 doctors serving this 221-bed facility. Grand Canyon University is less than two miles to the west with over 21,000 students enrolled on campus and over 70,000 students studying online.
Marcus & Millichap arranges the Sale of NNN Walgreens in Tempe
Marcus & Millichap (NYSE: MMI) announced the sale of Walgreens, a net-lease drugstore located in Tempe, Arizona. According to Ryan Sarbinoff, regional manager of the firm’s Phoenix office, the asset sold for $9,050,000.
Mark Ruble, Chris Lind, and Jamie Medress, investment specialists in Marcus & Millichap’s Phoenix office, had the exclusive listing to market the property on behalf of the seller, a limited liability company. Walgreens has an absolute triple-net corporate lease with 14 years remaining on the lease term. It is located at 2000 South Mill Avenue just two miles from downtown Tempe and minutes from Arizona State University’s Tempe campus (51,585+ students). This Walgreens is visible to over 55,150 vehicles per day at the intersection of Mill Avenue and Broadway Road. There are more than 316,525 residents living within the growing Tempe trade area, and average annual household income exceeds $74,000 in the immediate area.
Marcus & Millichap arranges the sale of NNN AAMCO in Maricopa
Marcus & Millichap announced the sale of AAMCO, a 4,380-square foot triple-net-lease property located in Maricopa, Arizona. According to Ryan Sarbinoff, regional manager of the firm’s Phoenix office, the asset sold for $2,522,000.
Mark Ruble, Chris Lind, and Jamie Medress, investment specialists in Marcus & Millichap’s Phoenix office, had the exclusive listing to market the property on behalf of the seller, a limited liability company. The buyer, a limited liability company, was procured by Adam Levin and Robert Johnston, investment specialists in Marcus & Millichap’s Palo Alto office.
AAMCO was just built this year at 20215 North John Wayne Parkway in Maricopa, Arizona and opened on May 1st. The property includes a brand-new 15-year absolute triple-net lease with a multi-unit franchisee. The lease has 10% rental increases every five years. Approximately 44,477 residents live within a five-mile radius of the property, and Maricopa High School (2,808+ students) is just three minutes down the road. The average annual household income within a one-mile radius of the property is over $73,000.
Marcus & Millichap arranges the sale of a 3-tenant property in Tucson
Marcus & Millichap announced the sale of a 4,832-square-foot retail property 100% leased to a diverse tenant profile in Tucson, Arizona. Tenants include Sprint, Long Realty, and Zanes Law, all three of which have triple-net leases. According to Ryan Sarbinoff, regional manager of the firm’s Phoenix office, the asset sold for $2,105,000.
Mark Ruble, Chris Lind and Jamie Medress, investment specialists in Marcus & Millichap’s Phoenix office, had the exclusive listing to market the property on behalf of the seller, a limited liability company. This asset is located at 1226 West Irvington Road in Tucson, Arizona, adjacent to the Interstate-19 freeway that connects Phoenix and Tucson. The property has an excellent location within Tucson Spectrum and has a strong daytime population that includes 214,965 employees in the surrounding area. There are 200,323 residents in the growing trade area, and households within a one-mile radius of the property are projected to increase over 7% by 2023.
Marcus & Millichap arranges the sale of an 11,807-SF industrial building in Avondale
Marcus & Millichap has announced the sale of an approximately 11,807-square-foot industrial auto service building located in Avondale, Arizona. According to Ryan Sarbinoff, regional manager of the firm’s Phoenix office, the asset sold for $2,580,000.
Paul Berkner, an industrial investment specialist in Marcus & Millichap’s Phoenix office, had the exclusive listing to market the property on behalf of the seller, a limited liability company. “By acting as an intermediary to facilitate and motivate a successful transaction during a stressful economic and social atmosphere, we were able to aid the seller in accomplishing their goal of selling their property at full price and exiting the Phoenix market,” Berkner explained. The buyer, a limited liability company, was also procured by Berkner and plans to operate their business from this location.
The industrial building is located at 1426 North Eliseo C. Felix Jr. Way in a high growth area in Avondale, Arizona. Nearby lots are currently being developed and are positioned to capture opportunity offered by this fast-growing city. They are additionally incentivized by reduced city development impact fees. Built in 2002 on 1.26 acres of land, the property has an exceptional quality of build and design.
Marcus & Millichap arranges the sale of Starbucks in Fort Mohave
Marcus & Millichap has announced the sale of Starbucks, a double-net-lease coffee retailer located in Fort Mohave, Arizona. According to Ryan Sarbinoff, regional manager of the firm’s Phoenix office, the asset sold for $2,091,000.
Mark Ruble, Jamie Medress and Chris Lind, investment specialists in Marcus & Millichap’s Phoenix office, had the exclusive listing to market the property on behalf of the seller, a limited liability company. The California 1031 Exchange buyer, a private investor, was procured by Andrew Irvine, an investment specialist in the firm’s Ontario office.
Starbucks is located at 4751 Highway 95 on the northwest corner of Mojave Valley Highway and Aztec Road in Fort Mohave, Arizona. The 2,021-square-foot property was newly constructed in 2020 on a 0.59-acre lot as an outparcel to Smith’s Food & Drug. It has a brand-new 10-year lease with Starbucks Corporation including 10% rental increases every five years and four five-year renewal options. Starbucks was built in a strong location with approximately 23,764 residents within a five-mile radius and households in the immediate area projected to increase by nearly 18% by 2023. Within a three-mile radius, average annual household income exceeds $65,000.
