Office Condo at Mesquite Corporate Center Sells to BodyCentral
TUCSON, Arizona – BodyCentral Physical Therapy (Jennifer L Allen) purchased two office condominium spaces at 1640 East River Road in Mesquite Corporate Center in Tucson for $801,528 ($168 PSF).
The total 4,771-square-feet in this class A complex was built in 2001 and 1,361-square-feet was leased to Bon Voyage Travel when it sold. BodyCentral will occupy the remaining 3,410-square-feet for Body Central Physical Therapy Sports and Wellness Center.
Founded in 2001 and locally owned, BodyCentral Physical Therapy has grown rapidly. This will be its seventh clinic in Tucson providing treatment for all musculoskeletal problems. They also have special programs and lecture series on health and wellness, fit for surgery programs, pregnancy wellness, and osteoporosis prevention to name a few.
Janine Clayton Irvin, CCIM, and Mark Irvin, CCIM, of Mark Irvin Commercial Real Estate Services in Tucson represented the seller, Charles Pitts, and Aaron LaPrise of Cushman & Wakefield | Picor in Tucson represented the buyer.
For more information, Janine and Mark Irvin should be reached at 520.620.1833 and LaPrise should be contacted at 520.546.2770.
Berkadia Negotiates Sale of Two Apartment Communities in Tucson for $16.28 Million
TUCSON, Arizona – A joint venture between two Swiss real estate companies, Stoneweg US LLC and Varia US Southwest LLC, bought the Zona Village Apartments at 2855 W Anklam Road in Tucson for $10.05 million ($54,918 per unit) from SFF Investments, Ltd. of Colorado.
The 183-unit apartment complex was built in 1969 and consists of 24 one-, two- and three-story, garden-style buildings, totaling approximately 98,366-square-feet of rentable space on 5.72 acres, located southwest of Anklam and Silverbell Roads.
The property features one-and two-bedroom units in six individual floor plans averaging approximately 538-square-feet and sold with 98% occupancy.
Unit amenities include air conditioning, a disposal, and frost-free refrigerator. Select units have ceiling fans, a dishwasher, backsplash in the kitchen, faux-wood flooring, walk-in closets, mini-blinds, vertical blinds, and storage.
Community amenities include swimming pool, basketball court, three laundry facilities, and Ramada with barbeque grills.
Zona Village is nestled in the Tucson Mountains with much of the open land surrounding it federally protected as Tucson Mountain Park yet within minutes of Tucson Central Business District, the UofA, Pima Community College and large medical facilities and hospitals.
In a second transaction, Juniper Canyon Apartments at 3055 N Flowing Wells Road in Tucson sold for $6.23 million ($44,170 per unit) to Bozeman, Montana investors.
The 141-unit apartment complex was built in 1985 on 3.8 acres and is located at the northwest corner of Flowing Wells and Miracle Mile Roads in the Central submarket of Tucson. The seller, Tucson Equity Partners of La Jolla California had purchased the property in 2015 in a distress sale and did extensive renovations to it.
The property consists of 141-units: (41) 1/1 404 SF rent for $410, (68) 1/1 580 SF rent for $460, and (32) 2/2 725 SF rent for $590. The property was 98% occupied at time of sale.
Amenities include air conditioning, cable TV available, disability access, dishwasher, pet – friendly, some paid utilities, walk-in closets, a clubhouse, emergency maintenance, fitness center, laundry facility, public transportation, swimming pool and hot tub/spa.
Art and Clint Wadlund of Berkadia’s Tucson office represented the sellers in both transactions.
For more information, Art Wadlund can be reached at 520.299.7200 and Clint Wadlund should be called at 520.615.1100.
To learn more, see RED Comp #4980 and #4974.
Landmark Willard Hotel Downtown Tucson Sells
TUCSON, Arizona — A Denver investor, LeMonds Holding (Dale LeMonds, manager) purchased the venerable Willard Hotel – Office Building at the corner of Twelfth Street and Sixth Avenue, 145 S 6th Avenue in Tucson, for $1.9 million ($158 PSF).
Designed by architect Henry Trost, the Willard Hotel opened its doors in 1903. From the arched porch and balcony, winter visitors could observe the busy 6th Avenue streetscape while basking in the sun or relaxing in the shade.
According to the Tombstone Epitaph, dated March 23, 1902, Alex Casey contracted to McMillen and Southworth to construct the 30-room Willard Hotel for $15,750. The construction was pushed to be done rapidly, and in order to complete by summer 1903 pressed brick was used instead of the original proposed design for plain brick plastered. It goes on to say Mr. Casey even traveled all the way to Los Angeles to purchase a fountain to be installed on the courtyard patio, and planned to spend an additional $1,500 to $2,000 on improving the grounds around and in front of the hotel.
Casey then “leased” the building out to Willard Wright and Charles Fleming who in turn used the name “Willard Hotel”.
It was one of many hotels constructed at the time to meet the needs of Tucson’s growing tourist industry. The Willard Hotel continued to serve the needs of travelling guests until WWII when more than half its rooms were converted into apartments. During this renovation, the ornate Mission-style parapets were removed in an attempt to streamline and modernize the hotel’s exterior.
Today the former hotel is home to several law firms and other offices.
Willard Partners’ (Michael Piccarreta, manager) was the seller, that renovated the building into the current law offices of Piccarreta Davis Keenan Fidel as a labor of love that began in the fall of 1991 and completed in the spring of 1993.
The building received a “Letter of Recognition” from the Historical Commission for the City of Tucson in 1994. And in 1995, the building received the Governor’s Award for historic preservation.
The landmark iconic sign was manufactured in two phases with “Pueblo Hotel and Apartments” initially. The swimming pool text, and lady diver were added in 1955 when the swimming pool was installed. The diving beauty has been poised on her diving board for all these decades. Both sections were designed and fabricated by the Acme Neon Company, active in Tucson from 1929 through 1966.
In 2012, the building sign received a Historic Landmark Sign designation from the City of Tucson when the whimsical sign was restored by Cook & Co. Signmakers.
Buzz Isaacson of CBRE in Tucson handled the sale transaction and can be reached at 520.323.5151, for more information.
Additional information on the fascinating history of this building, complete with gun fights and other drama, can be found here
Three Tucson Mobile Home Parks Sell for $4.63 Million in Bulk Sale
TUCSON, Arizona — Allen Yadgari and Mike Yamin of Beverly Hills, Calif. purchased three mobile home parks in Tucson with a combined total of $4,628,000 ($23,979 per space) for the 193 total spaces.
The parks included Desert Haven mobile home park at 3332 N Romero Road with 54 spaces, Sun City Rentals at 2444 N 14th Avenue with 46 spaces, and Desert Shores mobile home park at 1067 W Miracle Mile Road and 2823 N Fairview Ave. with 93 spaces.
All three properties are in the Central submarket near each other within a mile.
The bulk sale prices as recorded in three transactions were allocated to custom fit the buyers’ 1031 exchange. The seller was also a California investor from Costa Mesa, Calif.
Each of the parks had rent to own contracts and each had a small percentage of apartment units.
Jeff Ferenz with Jeffrey Alan Adam of Phoenix who handled the transaction for the buyers told us this was not the first mobile home park purchase in Tucson for the buyers.
For additional information, Farenz should be reached at 602.264.6041.
Tucson Industrial Back Office Building Sells in Off-Market Investment Deal for $6.1 Million
TUCSON, ARIZONA – The industrial back office building at 2425 E Medina Road in Tucson Commerce Center sold for $6.1 million ($127 PSF) in an off-market transaction.
The 47,775-square-foot building on a fenced 4.52 acre lot was built in 1975, and has been used as a call center since closing when Burr Brown was acquired by Texas Instruments in 2000. The interior build-out consists of five training rooms, a control and monitoring room, an exterior metal shade canopy, handicap ramps, a new generator, UPS, transfer switch and related electrical gear upgrade for the call center.
The seller, Boston-based Intercontinental Real Estate Corporation, an SEC Registered Investment Adviser, was represented by Bill DiVito and Jesse Blum with CBRE in Tucson. The buyer was Descanso Medical Plaza LLC of Sierra Madre, CA (Michael Sharp, manager).
At time of sale, the property was fully leased to Synchronoss Technologies as a Call Center employing about 400 people at this location which is managed by CoWorx Staffing. The call center operates 18 hours per day, 7 days per week.
Synchronoss Technologies, Inc. (NASDAQ:SNCR) is a leader in mobile cloud innovation for mobile carriers, enterprises, retailers and OEMs around the world. The innovative software company helps both service providers and enterprises realize and execute their goals for mobile transformation with simple, powerful and flexible solutions. The company serves millions of mobile subscribers and a large portion of the Fortune 500 worldwide.
For more information, DiVito can be contacted at 520.321.3339 and Blum should be reached at 520.321.3335.
To learn more, see RED Comp #4949 and for more listings see RED Listing Registry.
Sale price: $6,072,170 sold on 6/19/2017. APN: 140-42-047. Tenant has a couple of years left on the lease and sold at a 10% cap rate. Buyer was in a 1031 exchange.
Zanya Mediterranean Restaurant Buys Molina’s Midway Building in Tucson to Relocate
TUCSON, Arizona — HA Arizona Properties of Tucson (Riad Altoubal, manager) has purchased the former Molina’s Restaurant at 1138 N Belvedere Ave. in Tucson for $429,500 ($79 PSF) to be owner occupy for expansion and relocation of Zayna Mediterranean Restaurant. Zayna, a popular local spot, specializes in Lebanese and Syrian dishes.
Currently located in a smaller leased space at 4122 E. Speedway, the buyer was attracted to the new location for the addition space and parking that is offers. With four large dining rooms and enough seating for 200 people, the new restaurant is significantly larger than Zayna’s current location inside what used to be Feast.
Molina’s restaurant which closed in May had occupied the premises for 64 years.
Esther Empens with Tierra Antigua Realty represented the buyer and Michael Laatrsch with CBRE Tucson represented the seller, La Familia Restaurants LLC and Los Cinco Hermanos LLC of Tucson.
The purchase was made possible with an SBA loan. Opening date at new location is anticipated by this Fall.
For more information, Empens can be reached at 520.271.5585 and Laatsch should be contacted at 520.323.5191.
Sam Hughes Place in Tucson Retail Sells at Auction for $2.58 Million
Tucson, Arizona – The ground floor retail space of Sam Hughes Place at the Corner sold recently at auction for $2.575 million ($160 PSF) to a Las Vegas investor, B33 Sam Hughes Place, LLC (Jahan Moslehi, manager).
The sale was for the ground floor exclusively at 446 N Campbell Avenue and did not include the upper level residential condominiums.
Located at the southeast corner of 6th Street and Campbell Avenue, near the football, baseball and basketball arenas for the University of Arizona Wildcats, the Class-A building was built in 2005 with a multi-tenant design and sold with three tenants in the retail ground floor portion that was 52.7% occupied at time of sale.
Tenants included Pistacchio Ice Cream Parlor, Grimaldi’s Pizzeria, and Spa Solai in the 16,076-square-feet of retail.
Michael Hackett and Ryan Schubert of Cushman & Wakefield of Phoenix with Tristan Tams of Ten-X represented the seller, CWCapital Asset Management of Bethesda, MD in the auction on March 29, 2017.
For additional information, Hackett can be reached at 602.224.4449, Schubert is at 602.224.4472 and Tams can be contacted at 949.855.7497.
To learn more, login and see RED Comp #4950t see similar properties available, go toRED Listing Registry.
Two new Starbucks Under Construction in Tucson
TUCSON, Arizona — La Cholla–OG, LLC (Neil Kleinman, manager) purchased the .85 acre parcel at the southwest corner of Orange Grove and La Cholla Blvd in Northwest Tucson for $610,000 ($16.45 PSF) from Little Group (Troy Little, member).
The former Quik Mart corner is being redeveloped for a new Starbucks at 6363 N La Cholla Blvd. in Tucson.
Cushman & Wakefield | Picor handled the transaction. Greg Furrier represented the buyer and Aaron LaPrise represented the seller in the transaction.
The second Starbucks is under construction at 1765 W Valencia on the south side of Tucson.
Starbucks Corporation has also leased a 3,000-square-feet building under construction, at the southwest corner of Valencia and Indian Agency Road, adjacent to a brand new 100,000-square-foot Fry’s grocery store. This is the first new Fry’s store to open in Tucson in almost ten years.
Other tenants in the center include Nationwide Vision, Pizza Patron, and Great Clips. Greg Furrier of Cushman & Wakefield | PICOR represented the Tenant. Brenna Lacey of Volk Company represented the landlord, Steamroller Pad LLC.
For more information, Lacey can be reached at 520.326.3200, Furrier is at 520.546.2735 and LaPrise can be contacted at 520.546.2770.
Watermark Retirement Communities Buys Land in Marana for $1.34M
MARANA Arizona — Watermark Retirement Communities (David Barnes, president) is building a 108-unit assisted living and memory car facility at 8689 N Silverbell Road in Marana. The 3.99 acres located southwest of Silverbell and Continental Reserve Loop recently sold to Watermark Marana for $1.34 million ($7.70 PSF) from Salem Marana Investments, an affiliate of Link Development of Salem, OR (Ronald Ziebart, owner).
The seller purchased the property in March 2016 for an assisted living facility from The DESCO Group.
The Town of Marana reports the retirement community plans were approved July 1 for a 96,324-square-feet facility, including 78 assisted living units and 30 memory care units.
Watermark is headquartered in Tucson providing assisted living, independent living and memory care services and currently manages 40 locations in 21 states. Watermark Retirement Communities is the 20th largest senior living provider in the United States.
The contractor for the Watermark Marana is Seabold Construction of Portland, OR.
Holualoa Sells Industrial Building for $13.5 Million at Tucson International Business Center
TUCSON, Arizona – Holualoa Global Loop, a subsidiary of Holualoa Companies, (I Michael Kasser, member) sold the fully leased building at 3301 E Global Loop in Tucson for $13.5 million ($167 PSF) to a group of investors from Anchorage, Alaska.
The 80,600-square-foot building was built in 1998 at Tucson International Business Center, off Palo Verde and Hemisphere Loop, near Tucson International Airport. The property had 28,210-square-foot of offices build out and the rest warehouse with 22 feet clear height on 13.2 acres. Property sold with Raytheon as tenant of the whole building in a net lease sale.
Holualoa Companies is a Tucson-based real estate investment firm focused on the acquisition, repositioning, redevelopment and disposition of underperforming real estate assets. Its investments span the United States and Europe and include office, retail, industrial, multi-family, hotel and mixed-use investment properties.
With offices in Tucson, Phoenix, Los Angeles, Kailua-Kona, HI; Paris, France; and Geneva, Switzerland the Company claims its size as an asset, small enough to maintain a responsive, entrepreneurial spirit, but large enough to commit appropriate resources to opportunities.
The industrial brokerage team of Bill Divito and Jesse Blum with CBRE Tucson office represented the seller, Holualoa, in the transaction.
For more information, Divito and Blum should be reached at 520.323.5100.
Tucson’s El Conquistador Apartments Sells for $7.5 Million
PHOENIX, Arizona – Cushman & Wakefield announced that Scottsdale-based CCA-El Conquistador Apartments, LLC purchased El Conquistador Apartments, located at 1881 East Irvington Road in Tucson, Arizona, for $7.5 million ($37,313 per unit) from Oksenholt F&S Tucson I LLC of Lincoln City, Oregon
David Fogler, Steven Nicoluzakis, Brent Mallonee, Chris Hollenbeck and Regan Amato of Cushman & Wakefield Phoenix represented the buyer.
“The El Conquistador represented an excellent value-add opportunity for the buyer, who was attracted to the property because of the quality of the asset and the location,” said David Fogler.
El Conquistador is a 201-unit, garden-style apartment community consisting of 12, two-story buildings. Spanning 6.75 acres, the property is approximately 81,074-square-feet and features studio, one- and two-bedrooms in four individual floor plans averaging 403-square-feet.
Located in southern Tucson, El Conquistador is on the northwest corner of Campbell Avenue and Irvington Road.
Fiesta Mercado in South Tucson sells to TIC Investors for $7.75 Million
TUCSON, Arizona – A group of California and Wyoming investors came together in a 1031 TIC (tenants-in-common) to purchase the Fiesta Mercado Shopping Center at 2920-2980 S 6th Avenue in South Tucson for $7.75 million ($94 PSF). The 82,367-square-foot grocery story anchored center is located off I-10 and 6th Avenue, and was 82% occupied at time of sale.
Fiesta Mercado is anchored by a 47,835-square-foot Food City grocery store, a subsidiary of Basha’s Inc. which opened its first store in Arizona in 1932, founded by brothers Ike and Eddie (Sr.) Basha. The company now serves every county in Arizona with 130 stores under the brands of Bashas’, A.J.’s Fine Foods and Food City.
Food City specializes in high quality, Mexican foods, offering a full array of ethnic and Hispanic food varieties. Many stores offer both tortillerias and pharmacies. Bashas’ continues to be family-owned and operated. Food City has been serving the Arizona community for over 60 years and was purchased by Bashas’ in 1993.
Rent-A-Center began with eight stores in 1986, Rent-A-Center (NASDAQ:RCII) is now the largest rent-to-own operator in the U.S. with an approximate 34% market share based on a store county of 2,863. Rent-A-Center has a market capitalization of ±$1.79 billion and annual revenue of ±$2.33 billion.
Other tenants in the center include:
Casa Lee, a clothing boutique specializing in both men’s and women’s clothing along with jewelry and other accessories. Casa Lee has a second location at the Fry’s Shopping Center at I-19 and Ajo Way.
TitleMax of Arizona has been providing the residents of South Tucson at this location since 2011 and offers fast cash for car and motorcycle loans.
Jackson Hewitt Tax Service, Inc. (NYSE:JTX) is the second largest tax preparation service company in the United States, with over 6,800 company -owned offices in 49 states and DC and is a privately held company.
Little Caesar’s Pizza, the fourth largest pizza chain in America, was founded in 1959 in suburban Detroit by Mike and Marian Illitch, whose family still owns and operates the business. The company consists of approximately 2,850 company-owned and franchised locations around the U.S. and on 5 other continents.
Casa de Nails is a locally owned nail salon offering a full line of nail services, including manicures, pedicures and acrylics.
Montanos Fashion, a highly acclaimed bridal store in the Tucson area that carries quality bridals dresses, formal dresses and supplies and a vast selection of tuxedos for men.
The Primavera Foundation, a local nonprofit, providing pathways out of poverty through safe, affordable housing, workforce development and neighborhood revitalization. Primavera provides sustainable homeownership opportunities in Tucson.
Express Location is a leading premium retailers provider of T-Mobile USA with 129 locations throughout the western states.
El Coco Loco is a local Mexican food restaurant with a great reputation for authentic Mexican food serving the South Tucson area.
Wingstop, a national food chain that in the “flavor business” not just the wing business. Wingstop is the destination when you crave fresh wings and their famous sides!
Chad Tiedeman, John Schweikert and Dan Gardiner with Phoenix Commercial Adivisors handled the sale for buyers and seller, Fiesta Mercado ST, LLC of Fountain Hills, AZ (Garo Demirjian, member).
Gardiner told us the property sold stabilized at market cap rate with a value-add component for the investors in the vacancy. It was a good match for both buyer and seller.
Premiere Commercial Management of Phoenix has been retained to manage the center.
For more information, Tiedeman can be reached at 602.288.3472, Gardiner should be contacted at 602.734.7204 and Schweikert is reachable at 602.957.9800.