PRESCOTT, Ariz. – Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, has announced the sale of Yavapai Regional Medical Center – Physician Care, a triple-net-leased medical office located in Prescott, Arizona. According to Ryan Sarbinoff, regional manager of the firm’s Phoenix office, the asset sold for $2,525,000.

Alan Laulainen, Jamie Medress, Mark Ruble and Chris Lind, investment specialists in Marcus & Millichap’s Phoenix office, had the exclusive listing to market the property on behalf of the seller, Sarti Properties, Ltd, a local family owned investment company headed by Mike Sarti. “After considering a multitude of options, the family partnership decided to dispose of the asset in favor of developing some land holdings,” Laulainen explained.

The Marcus & Millichap marketing platform was instrumental in sourcing a 1031 exchange buyer from Oregon. The buyer was looking for higher yield than traditional primary markets and decided to purchase the property to hold as an investment and renegotiate an extension to the current lease. “Yavapai Regional Medical Center is a well-run profitable rural hospital system with a Moody’s ‘A2’ credit rating. Our team effectively demonstrated the longevity the tenant has had in the asset as well as the phenomenal growth that Prescott/Prescott Valley is experiencing to get the buyer comfortable with the market,” Laulainen added.

Yavapai Regional Medical Center – Physician Care is located at 2120 Centerpointe West Drive in Prescott, across from Prescott Regional Airport and just minutes from Embry-Riddle Aeronautical University. Built in 2008, the 8,622-square-foot medical office is situated on 1.27 acres. The property is visible to more than 17,855 vehicles per day from AZ State Route 89A (Pioneer Parkway). The surrounding five-mile radius has 34,594 residents with a projected 16% increase in households by 2023.

RANCHO SAHUARITA, Arizona – National homebuilder, KB Home, has closed on 55 platted lots in Entrada Del Rio, and plans to develop and construct new homes on the lots located directly adjacent to Parque Del Rio. The newest neighborhood within Rancho Sahuarita, Entrada Del Rio currently has three other active builders, Richmond American Homes, Meritage Homes and Lennar.

The lots are 40’ wides platted and sold for $1.2 million ($21,200 per lot). KB Homes has another 106 lots under contract at Entrada Del Rio.

The homes in Entrada Del Rio are KB Home’s first in the community since their last neighborhood of Presidio Porvenir in the northernmost part of Rancho Sahuarita, which they finished in summer of 2018. KB Home’s new community in Entrada Del Rio will offer a collection of single-story, ranch-style homes that range from approximately 1,200- to 1,700- square-feet. The new KB homes will feature desirable design characteristics like spacious great rooms, beautiful kitchens and expansive master suites.

“KB Home has been very active throughout Tucson, acquiring new land and opening several new home communities. We recently made a strategic land acquisition in the Rancho Sahuarita master-plan, purchasing 55 new homesites,” said Amy McReynolds, President of KB Home’s Tucson division. “The area has always been a successful sub-market for KB Home. We have a long history of building in Rancho Sahuarita and our buyers are attracted to the community’s resort-style amenities and unique lifestyle.”

KB Home gives homebuyers choice and control by offering a wide variety of homes at an affordable price. From there, the builder gives buyers the ability to personalize their homes from homesites and floor plans to design features. All homes built meet or surpass ENERGY STAR® certification standards, meaning the homes have substantially lower monthly utility costs when compared to typical used homes. The KB Home team works hand in hand with homeowners every step of the way so they have a real partner in the process.

Jeremy Sharpe, Chief Operating Officer for Rancho Sahuarita said, “We are thrilled to have KB Home back and building in Rancho Sahuarita! KB has been a great partner and homebuilder in the community through the years, and we are excited that they will be providing more families the opportunity to live in our community in a beautiful new home in Entrada Del Rio.”

Homes are selling fast here. Meritage opened up in January and had 6 homes sold even before the models were constructed. Meritage is planning their “official grand opening” this April.

By the end of this month, Rancho Sahuarita expects 400 SFR lots to be sold this year.

Elwood Logistics Center to total 1.3 million s.f. of speculative space in the West Valley

GOODYEAR, ARIZONA – Phoenix-based Tratt Properties LLC has broken ground on a 1.3 million-square-foot, Class A industrial development sitting just south of the junction of Interstate 10 and the Loop 303, in a designated Opportunity Zone in Goodyear, Arizona. Called Elwood Logistics Center, it is the largest speculative industrial building ever to break ground in the Valley.

Tratt Properties has named JLL as the project’s exclusive leasing broker.

“We are thrilled to have many great developers, such as Tratt Properties, believe in the success and vision of our rapidly growing community,” said Goodyear Mayor Georgia Lord.  “Goodyear’s access to market makes this an ideal area for a state-of-the-art speculative building and provides a perfect location for any growing, expanding, or relocating business. Plus, our residents also benefit by creating additional jobs for our community – keeping workers close to home and family; and expanded retail and restaurant options by increasing the city’s daytime population.”

“Elwood Logistics Center brings together the best of a modern, institutional-grade logistics park in one of the fastest growing industrial and e-commerce submarkets in the nation,” said Tratt Properties Principal Jonathan Tratt. “We appreciate the support we’ve received from the City of Goodyear to help bring this project to fruition and are thrilled to celebrate our groundbreaking today.”

Located on 83 acres at Sarival Avenue and Elwood Street, Elwood Logistics Center at build-out will total 1,310,258 square feet, with amenities purposefully designed to meet the needs of major logistics, manufacturing, food and beverage, and e-commerce users.

This includes a 40’ clear height, cross-dock building with a 190-foot gated and secure concrete truck court and 235 dock-high loading positions. The site provides parking for more than 1,400 cars and 327 trailers.

Elwood Logistics Center is accessed from the I-10/Cotton Lane interchange and sits within both a pending Foreign Trade Zone, which would provide duty advantages and up to 72 percent reduction in real and personal property tax, and an Opportunity Zone, offering tax advantages for operators who invest in areas targeted for economic or employment stimulation.

“The combination of Foreign Trade Zone capability and Opportunity Zone status make Elwood Logistics Center an extremely advantageous site option,” said JLL Managing Director Anthony Lydon, who serves as the project’s exclusive leasing broker along with JLL Managing Director Marc Hertzberg and Vice President Riley Gilbert. “Add to that Goodyear’s position as the sixth fastest growing city in the U.S. and the nation’s second-highest-ranked workforce market with almost 1.5 million people within a 30-minute drive, and you have a very precise mix of geography and labor that is critical for a huge range of national and global operations. That mix is a reflection of the expertise that Tratt Properties brings to this process.”

Headquartered in Phoenix, Tratt Properties specializes in the acquisition and development of Class A e-commerce and logistics properties in key markets throughout the U.S., with a focus on delivering modern, flexible and scalable global supply chain real estate solutions.

Construction on Elwood Logistics Center is now underway and scheduled to complete in December 2020. The project general contractor is The Renaissance Companies. The project architect is Deutsch Architecture Group.