TUCSON, AZ – Lee & Associates is proud to announce the sale of a 72,000-square-foot former Raytheon Missile Systems flex office building at 3360 E. Hemisphere Loop, Building M10, Tucson for $10.5 million ($145.83 PSF).

Lee Principals Jerry Marrell and Dave Johnson negotiated on behalf of DCG IV, LLC, a Seattle-based investment firm. Lee Principal Pete Batschelet procured the buyer, 3360 E. Hemisphere Loop, LLC, Scottsdale.

Built in 2008, the single-tenant, two-story, building sits on approximately 4.45 acres with an additional 4.92 acres of land available for expansion. The building features 4.67/1,000 parking, two split system A/C systems and a contemporary architecture in a business park setting. It is a Department of Defense approved facility and was a built-to-suit for Raytheon Missile Systems. The property is close to the I-10 Freeway and Tucson International Airport.

Raytheon Missile Systems is headquartered in Tucson and is the largest non-governmental employer in the city. This business unit specialized in advanced weaponry development and is a critical defense industry contractor. Raytheon Co. is a technology and innovation leader specializing in defense, civil government and cybersecurity solutions. Founded in 1922, the company provides state-of-the-art electronics, mission systems integration, capabilities in C5I (command, control, communications, computing, cyber and intelligence), sensing, eff ects and mission support services. Raytheon Co. is headquartered in Waltham, Massachusetts.

For additional information, Marrell is at 602.954.3744, Johnson should be contacted at 602.954.3745 and Batschelet can be reached at 602.912.3522.

To learn more, see RED Comp #4103.

Phoenix, AZ – CBRE has completed the sale of Pheasant Run, a 248-unit multifamily community located at 2101 N. Evergreen Street in Chandler, Arizona. Tyler Anderson, Sean Cunningham, Asher Gunter and Matt Pesch with CBRE’s Phoenix office negotiated the transaction. The seller was Acacia Capital of San Francisco, CA. The buyer was Dallas, TX-based Phoenix Property Company.

The property commanded at sale price of $29.5 million ($119,000 per unit).

“Pheasant Run is surrounded by all of the Southeast Valley’s major employment corridors. With nearly 70,000 jobs in a five-mile radius of the community, Pheasant Run is well-positioned to capitalize on strong demand for multifamily housing in the Chandler submarket,” said CBRE’s Anderson. “Combined with discernible value-add upside, a potential for strong returns at Pheasant Run exists.”

Built in 1985, Pheasant Run is a garden-style community featuring all two-story buildings and a desirable low-density site plan. Community amenities include two swimming pools, a resident clubhouse, a fitness center, a basketball court and a kid’s playground. Individual residences feature well-appointed kitchens, spacious walk-in closets, private patios/balconies, fireplaces, and in-unit washer/dryers.

Phoenix-based non-profit to operate the development’s resource center and provide service-enriched housing programs to residents 

TUCSON, Ariz. – Rainbow Housing Assistance Corporation (Rainbow), a nonprofit organization that provides service-enriched housing programs for residents of rental housing communities throughout the country, has been selected by developer Gorman & Company, Inc. as the service provider for West End Station, a new $12 million, 70-unit affordable housing development in Tucson, Arizona. West End Station, which will be located at the west end of the Sun Link Modern Streetcar line at 855 W. Congress St., is one of the first Section 811 projects ever to be developed in Arizona using the Low Income Housing Tax Credit (LIHTC) program. Construction is tentatively scheduled to begin in early 2017 and be complete in mid-2018.

The Section 811 program assists adults aged 18 years and older with significant, long-term developmental disabilities to live independently in the community by providing affordable housing and supportive services. Under Section 811 housing, a case manager is assigned to each resident to aid the resident with self-determined daily needs. Rainbow’s scope of work will include operating the community resource center at the site and implementing a range of services for residents, including providing a part-time, on-site resident service coordinator to serve as a liaison between the residents and the case managers. Direct case management will be provided in partnership with the Arizona Department of Economic Security, Division of Developmental Disabilities (DES/DDD).

“We’re thrilled to work with Gorman & Company on the first Section 811 development in Arizona to showcase how beneficial this program can be,” said Flynann Janisse, executive director of Rainbow. “By providing appropriate supportive services, along with affordable housing opportunities, residents will be able to live as independently as possible and enhance the quality of their daily lives.”

Once completed, West End Station will consist of one four-story building comprising one-, two- and three-bedroom floor plans. 56 of the units will be supported by a Section 8 contract with the city of Tucson, and 14 units will receive HUD Section 811 rental assistance through the Arizona Department of Housing, who also issued the tax credits to finance the project’s construction. For the Section 811 units, four units will be one-bedroom floorplans and the remaining 10 units will be two-bedroom floorplans.

“We understand that a key component to any successful multifamily community we work with are the people that residents interact with on a daily basis,” said Brian Swanton, Gorman’s Arizona market president. “Partnering with Rainbow not only provides us a wealth of experience in affordable housing, but brings forth real people who will help enhance the quality of life for our future residents. Adults with developmental disabilities are increasingly shut out of today’s tightening rental market. It’s a great day when we can build high quality, affordable and accessible housing for adults with special needs in our community, and wrap them with the supportive services they so desperately need.”