A North Scottsdale Class-A office portfolio was sold by its developers for $122 million to a Phoenix-based property company.
Wentworth Property Company purchased the 640,000 square-foot portfolio from Desert Troon Companies with plans to renovated the offices, and add two parking garages to the area, according to Cushman & Wakefield.
The 640,000 square-foot office portfolio is located within the 260-acre Perimeter Center business park. Desert Troon sold five of the buildings it developed in the 800,000 square-foot business park.
Tom Knoell, Jr., director of commercial leasing for Desert Troon Companies represented Desert Troon in the transaction and Cushman & Wakefield Managing Director Jeff Wentworth, Vice President Chris Walker, Executive Managing Director Mike Beall and Senior Vice President Sean Spellman represented Wentworth Property Company.
“As one of the premiere office portfolios in the state, it has been Desert Troon Companies privilege to manage this standout portfolio with our partners,” said Daniel Smith, CEO of Desert Troon Companies. “Desert Troon Companies used this strategic disposition of assets to continue its targeted value add acquisition strategy.”
The five building portfolio includes:
- Perimeter Gateway I, a 228,147 square-foot two-story office building, which was 36 percent occupied at the time of the sale
- Perimeter Gateway II, an 80,040 square-foot two-story office building, which was 73 percent occupied at the time of the sale
- Perimeter Gateway III, an 84,237 square-foot three-story office building, which was 78 percent occupied at the time of the sale
- Perimeter Gateway V, a 65,848 square-foot two-story office building, which was 78 percent occupied at the time of the sale
- Terra Verde, an 180,445 square-foot three-story office building, which was 82 percent occupied at the time of the sale
According to Cushman & Wakefield, this sale makes Wentworth Property Company the largest office space owner in the North Scottsdale area.
In addition to two parking garages that will be built in the area, the lobbies and common areas at Perimeter Gateway I, II and V will be remodeled.
A cafe, fitness center and tenant lounge will be added to Perimeter Gateway I, which will be available for use by all Perimeter Gateway tenants in Perimeter Gateway I, II, III and V.
Creative and open sec suites will be added through out the portfolio.
“With our plans to remodel common areas, add amenities and build out spec suites we are confident that the available space in the buildings will attract considerable interest from new tenants and successfully lease up,” said Jim Wentworth Jr., principal at Wentworth Property Company.
Cushman & Wakefield will handle leasing for the portfolio.