MARANA, ARIZONA – Cortaro Commercial JV, LLC sold 3.86-acres at 5600 West Cortaro Farms Road in Cortaro Ranch, off I-10, for $966,650 (5.75 PSF) in Marana. The buyer is Marana Micro-Hospital, LLC, an affiliate of Beaumont Surgical Hospital Partners of The Woodlands, TX plan to construct a 40,000-square-foot micro-hospital on the site.

Cortaro Ranch is approximately 20-acres, at the northeast of Cortaro Farms and I-10, currently with an IHOP (soon to be rebranded IHOB) at 8445 N Cerius Stravenue, as shown on the site plan. The micro-hospital will be located to the north of IHOP and a build-to-suit Dutch Bros Coffee with drive-thru under construction by the seller / developer, Thrift Thompson Retail Group (TTRG).

Cortaro Commercial JV is a joint venture between Caddis Bridge (Greg Anderson) of Tucson and TTRG, a Terra Haute, Indiana based company with an office in Phoenix (Chris Hake, Vice-President and Director of Southwest Region).

Chris Hake is leading the development and heads up the local operations in Phoenix. Hake has been with Thompson Thrift since 2007 and has been in the commercial real estate industry for over 10-years. Hake told us the company is also in negotiations with a national retailer for a 45,000-square-foot store at the northwest corner of the center, shown on the site plan.

Plans are to develop an additional medical / office building adjoining the 35,000-square-foot, 22-bed micro-hospital, including inpatient and emergency room beds, a planned hotel site and additional retail shop space at Cortaro Ranch. Serial Grillers recently announced a future restaurant here while still doing tenant improvements at the former Chuy’s in Rita Ranch at 7585 S. Houghton Road in Tucson.

This is the second micro-hospital in metro Tucson, the first was built as an Emergency Center at Houghton Town Center by Northwest Medical Center.

Starting in Colorado, Texas, Indiana, and other large- and medium-sized cities in the United States, micro-hospitals are licensed facilities that tailor their services to the populations they serve. Some offer an emergency department, pharmacy, lab, and imaging center. Others focus on primary care, nutrition services, gynecological and other women’s health services, and minor outpatient surgeries. Thanks to their smaller size and fewer services offered, micro-hospitals charge less than larger traditional hospitals, and like their larger counterparts, are open 24/7.

Brokers who represented the seller on the hospital closing are Chuck Wells with CBC Advisors of Phoenix, Brenna Lacey with Volk & Co. and Paul Serafin with De Rito. The buyer’s broker was David Montijo with CBRE in Tucson.

Wells can be reached at 602.884.8345, Lacey should be contacted at 520.326.3200 and Serafin is at 480.834.8500. To contact Montijo, call 520.323.5100.

To learn more, see RED Comp #5890.

TUCSON, ARIZONA – Chuy’s Mesquite Broiler at 7101 East 22^nd Street in Tucson sold for $1.19 million ($474 PSF) in an absolute triple net investment sale to a Family Trust in Fort Bragg, California.

The fee simple interest in the 2,510-square-foot restaurant on a 21,384-square-foot lot sold 100% leased to Chuy’s with 12-years remaining of a 15-year lease with 2% annual rent increases, two, five-year renewal options and a personal guarantee for the term of the lease.

Although a new lease was put into place November 1, 2014, Chuy’ s has been operating at this location since 1997. The Chuy’ s concept began in 1978 with locations in Arizona and California. Chuy’ s cooks everything on a mesquite grill which is visible from the entrance. Mesquite grilled chicken is the specialty of Chuy’ s, but they also serve tri-tip beef and seafood such as fish and shrimp.

The property is shadow anchored by Fry’s Food and Drug and Desert Toyota of Tucson. Tucson’s top employer, Davis-Monthon Air Force Base, is located 2.2 miles away, and the University of Arizona (with 43,000 students) is only 8 miles away.

Tony Sekulovski and Jeremy Botkin of the Sekulovski Group in Scottsdale handled the transaction. To learn more, they can be reached at 614.855.4589.

To learn more, login and see RED Comp #5768.

In a separate transaction, the IHOP ground lease at 1963 W Valencia in Tucson sold for $2.767 million ($65.39 PSF) for an absolute triple net ground lease to Lynn Properties, LLC of Tucson (Phil & Sheri Kleiman, Members). The lease commenced  February 2018 with an original 20-year term and 10% increases every 5-years.

The IHOP 4,994-square-foot restaurant was constructed in 2017 on a 42,315-square-foot lot and opened in February 2018. Property is located 10-miles south of Downtown Tucson and the University of Arizona.

For 57 years, the IHOP family restaurant chain has served its world famous pancakes and a wide variety of breakfast, lunch and dinner items loved by people of all ages. IHOP offers its guests an affordable, everyday dining experience with warm and friendly service.  As of 2015, there were 1,650 IHOP restaurants in 50 states and the District of Columbia, as well as in Bahrain, Canada, Dubai (UAE), Guatemala, Kuwait, Mexico, Puerto Rico, Saudi Arabia, The Philippines and the U.S. Virgin Islands.  IHOP restaurants are franchised and operated by Glendale, California-based International House of Pancakes, LLC and its affiliates. International House of Pancakes, LLC is a wholly-owned subsidiary of DineEquity, Inc. (NYSE: DIN).

Jamie Medress, Mark Ruble and Chris Lord with Marcus & Millichap of Phoenix handled the transaction.

For more information, Medress can be reached at 602.687.6778, Ruble is at 602.687.6766 and Lord can be contacted at 602.687.6780.

To learn more, login and see RED Comp #5810.

TUCSON, ARIZONA — The multifamily team of Allan Mendelsberg and Daniel Leibsohn at Cushman & Wakefield | Picor in Tucson closed on several apartment complexes with and aggregate of $2.79 million and 50-units.

La Promesa Homes, LLC purchased La Promesa Apartments, a 40 unit complex located at 2485 N. Alvernon Way in Tucson, from Our Family Services, Inc. for $2.3 million ($57,500 per unit) in Northeast Tucson.

Advantage Investments, LLC purchased Coronado Heights Apartments, a 10-unit complex located at 3035 N. Los Altos Ave. in Tucson, from RJ Price Properties, LLC for $495,000 ($49,500 per unit).

According to Cushman & Wakefield | Picor research the vacancy rate of conventionally-operated, stabilized units improved 0.56% in first quarter, while improving 0.78% from one year ago to 5.74%. The lowest first quarter vacancy of 4.15% occurred in the University submarket, followed by the 4.69% rate recorded in Catalina Foothills Submarket. The highest vacancy rate recorded was 9.52% in the Southeast Tucson submarket. This was the only submarket with a recorded vacancy above 7.0% in first quarter. Ten of Tucson’s 15 submarkets experienced improvement in vacancy, with the greatest gains occurring in Tucson Mountain Foothills (-1.66%) and Oro Valley/Catalina (-1.63%).

For more information, Mendelsberg can be reached at (520) 546-2721 and Leibsohn can be contacted at 520.748.7100.

To learn more, see RED Comp #5745 and #5767.