TerraCap Management LLC, a privately held investment firm with its headquarters in Naples, Florida, announced today the acquisition of Airport Technology Center in Phoenix, AZ for $24,600,000.
Airport Technology Center consists of two 2-story Class A office buildings totaling approximately 198,000 square feet. The property is located in the 44th Street Corridor submarket and is less than two miles from Phoenix Sky Harbor International Airport. The property also has convenient accessibility and is within walking distance of a METRO light rail station.
Albert Livingston, TerraCap Partner and National Director of Asset Management said, “We are experiencing and benefiting from flex office demand near high-growth international airports, and this is the next strategic acquisition in the Phoenix market to enhance our portfolio of well-situated, best-in-class product with a value-add component.”
Upon acquisition, TerraCap plans to invest in several capital projects to reposition the asset and capitalize on its value-add potential. “We’re excited to add another property to our Phoenix portfolio. Our basis in Airport Technology Center provides a great opportunity to invest capital where it’s needed to maximize the property’s value, including white-boxing vacant suites, painting the buildings, and adding an exterior tenant amenity area,” said Matt Hart, TerraCap Partner and Director of Investment Analytics.
The seller, Lone Star Funds, was represented by Chad Littell and Chris Toci of Cushman & Wakefield. Cushman & Wakefield was retained for the leasing assignment, and CBRE was retained as property manager.