RETAIL SPACE – 2928 E BROADWAY, TUCSON

Axé (pronounced Ahh-Shay) Capoeira Tucson was established in 2009, when student Aquil Joel Hameed, AKA “Sombra”, came to Tucson with the goal of sharing the martial-art, dance, and culture of capoeira and expanding the Axé Capoeira group. A direct student of Jay “Camara” Spain, and under the instruction of Maestre Barrao, Sombra has developed and implemented a kid, teen, and adult curriculum to provide the community an alternative means to develop self-confidence, encourage health and fitness, and promote cultural awareness and experiences through interactive and challenging capoeira and Brazilian dance classes.

Studio 5 leased 1,700 sq. ft. at BV Shoppes at 2928 East Broadway for his new studio. Located at the northeast corner of Country Club and Broadway, the BV Shoppes other tenants include Yikes Toy Store, Picante Boutique, and Hi*End Tight Barbershop.

Studio 5’s Axe Capoeria classes explore the limits of the contemporary evolution and modern applications of capoeira in martial-arts, music, dance, and self-exploration.

Perfect for action-seekers of all ages, a month of capoeira-infused classes will have you working the ginga and spinning aúzinho toward better health and high-flying self-confidence.

David Hammack of Volk Company Commercial Real Estate in Tucson represented the Landlord, LMG Investments, LP. Opening date for Studio 5 is yet to be determined.

RETAIL SPACE – 6450 N ORACLE RD, TUCSON 

Lifetime Martial Arts #1, Inc. dba Karate 4 Kids marital arts studio leased 2,100 sq. ft. for relocation from 7607 N Oracle Road in Oro Valley to Plaza del Oro Shopping Center at 6450 N Oracle Road in Tucson, at the northeast corner of Oracle and Orange Grove Roads. The owner, Wan Joo Choi, expects to open July 8^th.

Craig Finfrock of Commercial Retail Advisors in Tucson represented the tenant. Paul Schloss formerly with CBRE and now with Bourn Advisory Services in Tucson and Dave Dutson of CBRE in Tucson represented the landlord, Plaza del Oro, LLC.

For more information on Studio 5 opening and class schedules, contact “Sombra” at (520) 990-1820. Choi at Lifetime Martial Arts should be reached at (520) 219-0880. Hammack can be contacted at (520) 326-3200. Finfrock is at (520) 290-3200. Schloss can be reached at (520) 323-1005 and Dutson is at (520) 323-5118.

To submit sales or leases email us at [email protected]

Login for additional information for subscribers.

[ismember] Lease rate for the 1,700 SF space at 2928 E Broadway was $10 PSF/NNN with $3/PSF NNN charges. We were unable to determine lease rate at the other. [/ismember]

This article has been archived, please login for access or subscribe now for a free trial.

The medical / administrative building at 4881 E Grant Road in Tucson was purchased by Hazen Enterprises through affiliates for[mepr-show rules=”58038″]$4.3 million ($284 PSF) from BP Crossroads Investors, LLC (Don Bourn, managing member). The two-story, 15,000 sq. ft. building is located on just under an acre in The Crossroads Festival Center, at the northeast corner of Swan and Grant Roads.

The seller, an affiliate of Bourn Partners, developed the property in 2008 as a build-to-suit and sold it fully occupied to Genesis OB/GYN, the parent company of Crossroads OB/GYN. The second floor serves as administrative headquarters for Genesis with medical space for seven OB/GYN doctors on the ground floor.

Genesis is the parent company to over a dozen OB/GYN, Diagnostic Imaging and Maternal Fetal Medicine centers in the region.

Tucson-based Hazen Enterprises began as Hazen Brothers Construction in 1981, a family owned and operated enterprise, the construction company built townhomes. In 1986, that portion of the business was halted when tax laws changed and Hazen Enterprise continued its property management and commercial real estate investments in the community. Brandt Hazen, son of Paul Hazen and nephew to Steve and Jeff Hazen the company founders, took over the business about 12 years ago. Hazen currently manages 426 townhomes in 30 locations and approximately 200,000 sq. ft. of office space.

The investor recently sold another office building at 3160 E Transcon Way in Tucson to Infinity Insurance for its new Tucson location. This transaction was the buyer’s up-leg in a 1031 exchange. Additional information on this prior sale is available to subscribers here.

Hazen pointed out that there was more involved than just doing a tax deferred exchange when deciding to purchase a property. Hazen explained, “It’s about relationships and that means the people involved, not just the property. We look for relationships, not just properties. It’s more than a leased building to us, it’s a new partnership with Genesis.” Hazen takes as much pride in the relationships as the townhomes his company has built in Tucson.

Genesis is the parent company to over a dozen OB/GYN, Diagnostic Imaging and Maternal Fetal Medicine centers in the region.

Michael Sandahl, Senior Vice President of Investment Properties and David Montijo, First Vice President, at CBRE in Tucson handled the transaction for both parties.

Hazen can be reached at (520) 795-8429. Bourn is at (520) 323-1005. Sandahl can be contacted at (520) 323-5115 and Montijo is at (520) 323-5136.[/mepr-show]

[ismember]The precise sale price was $4,265,000. Property sold at a reported 9.14% cap rate, a lease rate of $26 PSF/ NNN. There was a 30-day look and 30-day close. The building SF was reported by the buyer per appraisal survey at time of sale as 15,000 SF, this differs slightly from the County Assessor number of 14,771 SF. Broker reported that the property was off-market when it sold. Land area is 43,180 SF, or .99 acre.[/ismember]

While most of the media is focused on the Supreme Court’s rulings on voters’ rights and affirmative action, yesterday in a 5-4 vote, the U.S. Supreme Court (“SCOTUS”) issued its opinion in Koonz v. St. Johns River Water Management District, No. 11-1447, slip op., 570 U.S. ___ (2013).  Koontz, a victory for the property owner, is an important property rights case affecting the government’s ability to impose monetary conditions on the approval of land use permits. 

The case arose when Coy Koontz sought permits to build on approximately four of his nearly 15 acres in Florida, much of which Florida classified as wetlands.  Koontz needed special permits from Florida’s water management district (“WMD”) in order to build, which could include conditions to mitigate the impact on the wetlands.  When Mr. Koontz applied, he offered to give the WMD a conservation easement over the remaining 11 acres of his property to restrict their development.  The WMD, rejecting his offer, gave him two options: (i) reduce the size of his development to one acre and give the WMD a conservation easement over the remaining 14 acres; or (ii) pay the costs of construction improvements, including replacing drainage culverts and filling ditches, to the WMD’s off-site wetlands several miles from Koontz’s property.  The WMD denied his permit when Koontz refused these options.

The Koontz case raises two important legal issues under the so-called “unconstitutional conditions” corner of regulatory takings law: 1) whether the Nollan/Dolan standard, which requires that government-imposed project conditions have a nexus to and rough proportionality with the projected effects of a proposed project, applies to project denials as well as project approvals; and 2) if the Nollan/Dolan test applies to monetary exactions as well as government’s compelled dedications of real property.

Koontz answered two questions.  First, the Supreme Court held the Nollan and Dolan analysis applies whether the government approves a permit with the unconstitutional condition or denies the permit because an applicant refuses to accept the unconstitutional condition.  This holding gives landowners bargaining power, because property owners do not need to accept “extortionist” conditions before they can challenge their validity and seek just compensation.  Second, the Supreme Court held that “‘monetary exactions’ must satisfy the nexus and rough proportionality requirements of Nollan and Dolan.”  In this sense, monetary exactions from landowners are treated no differently than conditions requiring a landowner to give the government an interest in their land.  Unless the requirement to pay money has a nexus with property and is roughly proportional to the development’s expected impacts, the requirement will be found unconstitutional.

To view the entire case go to https://www.supremecourt.gov/opinions/12pdf/11-1447_6j37.pdf