DIV Industrial, an institutional-level investor and developer of industrial real estate, today announced the acquisition of 47.35 acres of land in the city of Goodyear, within Phoenix’s robust industrial market, for the development of Sarival Business Park, a new 847,988-square-foot Class A industrial complex. At completion, the modern LEED certified business park will include five free-standing buildings ranging in size from 135,000 square feet to 235,000 square feet.
The closing marks DIV Industrial’s first acquisition in the Phoenix market and a milestone in the firm’s strategic growth and expansion into key logistics markets in the West and Southwest U.S.
“DIV Industrial is excited to add Sarival Business Park, a best-in-class project, to our growing portfolio of high-quality industrial real estate assets, particularly during this complicated time in commercial real estate and in the global capital markets,” said Nicholas Ilagan, co-founder and managing partner at DIV Industrial. “Our team worked diligently to execute and close the transaction. We are immensely grateful for the land seller’s patience and our brokerage team’s expertise, in addition to the City of Goodyear’s collaborative efforts and support.”
DIV Industrial acquired the property from a private seller and completed the rezone and entitlements during escrow. Terms of the deal are not disclosed. Stein Koss and Tom Louer of Lee & Associates represented both DIV Industrial and the seller in the transaction. The Koss Louer team is also leading the marketing efforts for Sarival Business Park.
Groundbreaking is scheduled to commence late Q1 2024 with total project completion anticipated in Q1 2025. DIV Industrial’s business plan is to develop and deliver the asset with multiple potential exit strategies, including the ability to sell individual buildings to owner-users.
Sarival Business Park is designed to meet the needs of high-quality Fortune 100 tenants, offering high efficiency and accessibility. Each building will provide 3,600 amps of power (expandable to 7,200 amps), two oversized grade level doors, up to 34 dock high doors, and high image speculative office space. Buildings 1, 2 and 3 will provide 32-foot clear height, and Buildings 4 and 5 will provide 36-foot clear height. All buildings will have fully air-conditioned warehouse space and offer ESFR sprinklers, along with ample parking.
“Sarival Business Park will offer superior optionality for leading suppliers, distributors and manufacturing tenants serving the Phoenix MSA,” said Jessica Quesada, co-founder and managing partner at DIV Industrial. “As a strategically located, LEED certified project, the park is setting a new, higher standard for industrial product in Goodyear. The city’s forward-thinking approach and vision played a crucial role in our acquisition, and DIV is pleased to be underway in delivering a standout facility that will support employment and economic growth.”
Sarival Business Park is located at the southeast corner of Sarival Avenue and MC-85. South of Interstate 10, the property provides convenient access to the greater Phoenix region via SR-303 and Loop 202. The property offers prime frontage along MC-85 as well as the planned SR-30 connection. The future connection to the 202 will also provide the ability to bypass Interstate 10 allowing for increased efficiency throughout the region.
Offering advantages in affordable labor and housing, as well as access to amenities, improved transportation infrastructure and high-capacity power, Goodyear has emerged as an institutional market, drawing in larger regional and national industrial real estate users such as Amazon, UPS, Macy’s-Bloomingdales, Chewy.com and many others. Well-positioned within the Phoenix MSA, now a critical logistics hub east of Southern California’s port markets, corporations can reach approximately 14% of the U.S. population within a one day’s drive.
Sarival Business Park is the second development project for DIV Industrial. The firm is currently underway on the development of El Dorado Valley Logistics Center, a 94-acre,1.7-million-square-foot Class A industrial complex in El Dorado Valley, within the Las Vegas MSA. At completion, El Dorado Valley Logistics Center will be LEED certified and establish a new distribution location in the Western U.S., providing an alternative and efficient connection point between key regional logistics hubs.
“DIV Industrial leads with its mission of building for the betterment of the environment, our industry and its people,” added Quesada. “We continue to pursue additional opportunities and expand our presence in Phoenix and in our targeted markets.”