New Medical Office Under Construction at Ina Road Professional Center

TUCSON, Arizona – A new 6,300-square-foot building is going up at Ina Road Professional Center, originally platted and constructed the mid-1980’s.  This new building will be a built-to-suit for Dr. Susan S Courtney Family Medicine.

A 6,737-square-foot fully improved padded lot at 1671 West Ina Road, in the Ina Road Professional Center, was purchased by 1671 W Ina Rd, LLC (Dr. Susan Courtney, manager) for $428,000 ($63.53 PSF).  Ready for construction, the pad is to the west of property with parking 7.14 / 1000.

Caylor Construction Company (Rob Caylor, owner) of Tucson is the general contractor for the project.

Craig Courtney of Courtney Realty & Investment Company handled the land purchase for the buyer.

Tom Nieman of Cushman & Wakefield | Picor handled the sale for the seller, Amigo Properties, an investment group from Tucson.

For additional information, Courtney can be reached at 520.290.5700 and Nieman should be contacted at 520.546.2728.

To learn more, see RED Comp #6388.

 




Government Leased Building Sells for $10 Million in Tucson

2255 W Ina Rd., Tucson, AZ

TUCSON, ARIZONA – Chicago-based, Boyd Watterson Asset Management affiliate, Boyd State Tucson, LLC (Kristen Frank, VP Asset Management) bought the building at 2255 West Ina Road in Tucson for $10 million ($216 PSF) in an all-cash transaction.

The 3-story, 46,094-square-foot, high profile building was fully leased to government agencies at time of sale. The Department of Economic Security (DES) occupies the 1st and 2nd floors while an undisclosed GSA tenant recently leased the 3rd floor.

Located at the southwest corner of Ina and La Cholla Blvd. in northwest Tucson, the building was built in 1981 as a charter school originally, dba Sonoran Science Academy. The seller purchased it in 2017 for $3 million with a 52,276 -square-feet of excess land in an REO sale. The seller, WRM Loans and PVP Investments did major renovations to the building.

Phil Skillings and Andrew Sternberg with NAI Horizon of Tucson handle building leasing and are also the listing agents to contact for the 52,276-square-foot vacant pad.

For more information, Sternberg should be reached at 520.729.1694.

To learn more, see RED Comp #6441.




Lee & Associates Handle Two Investment Sales in Tucson for $4.2 Million

Gerber Collision & Glass, 4670 S Palo Verde Rd., Tucson, AZ

TUCSON, ARIZONA – In two separate investment transactions Lee & Associates handled properties valued at $4.2 million in Tucson’s Southern Submarket.

California-based, Corsair Management, LP (David Paul Oddo, manager) sold the building at 4670 S Palo Verde Road in Tucson for $3.2 million ($114 PSF).

The 28,145-square-foot building on 3.21 acres was constructed in 2004 and sold fully leased to Gerber Collision and Glass. The automotive building consists of lobby and reception areas, office’s and conference rooms, a warehouse, 4 grade level doors, and fenced yard.

David Newton, SIOR of Lee & Associates in Orange, CA represented the buyer, a Family Trust from Long Beach, CA.

For more information, Newton can be reached at 714.647.9100.

To learn more, see RED Comp #6399.

Tucson Ace Asphalt, 4030 E Michigan St., Tucson, AZ

In a separate transaction, Aceland sold the building at 4030 E Michigan Street in Tucson to a private investor from Huntington Beach, CA for $1 million ($161 PSF).

Built in 1988, the 6,200-square-foot building on 1.99 acres was occupied by Tucson Ace Asphalt at time of sale.

Marcus Muirhead and Allen Lowe with Lee & Associates in Phoenix handled the transaction.

For more information, Muirhead can be reached at 602.474.9589 and Lowe is at 602.954.3747,

To learn more, see RED Comp #6390.

 




Oro Valley Medical Office Sells as Investment to California Buyers

1856 E Innovation Park Dr, Oro Valley, AZ

Oro Valley, Arizona – A single tenant medical building at 1856 E Innovation Park Drive in Oro Valley sold in an investment sale for $1.32 million ($233.46 PSF). The 5,654-square-foot building was purchased by California investor, La Mantia Family 2001 Trust, and was fully occupied by Oro Valley Pediatrics.

A group practice with a single location, Oro Valley Pediatrics specializes in Pediatrics with four physicians. The office offers separate sick and well waiting areas and provides a more home-like environment for families. Physicians offer traditional pediatric care as well as some alternative care including a referral base to traditional and alternative care pediatric providers.

Oro Valley is located north of Tucson. The Medical Office is adjacent to Oro Valley Hospital and Oro Valley Marketplace is anchored by tenants such as Walmart, Best Buy, Dicks Sporting Goods and more.

Tony Reed with Long Realty represented the seller, Roberts-Smith Properties, LLC Trust (Dr. Carl Robert, manager) in the sale leaseback transaction. Rick Kleiner of Cushman & Wakefield | Picor represented the investor.

For more information, Reed can be reached at 520.918.5189 and Kleiner should be contacted at 520.546.2745.

To learn more, see RED Comp #6400.




Westside Land Assemblage is Second Logistics Center for Amazon in Tucson

TUCSON, ARIZONA — Steve Cohen and Russ Hall of Cushman & Wakefield | Picor represented Scannell Properties of Indianapolis, IN (Robert Scanell, CEO) in the assemblage of 9.57 acres for the new Amazon distribution center being built in Tucson. Scanell purchased the property for approximately $1.5 million ($3.60 PSF) land value in two separate transactions with buildings to raze on it.  Both transactions closed November 29, 2018.

The site is located at the southwest corner of Silverlake Road and I-10 with addresses on 29th Street and Silverlake, west of downtown Tucson.  Scanell has already begun prep work for the 50,000-square-foot single story warehouse to be used for sorting from larger warehouses and package transfers to smaller delivery vehicles, along with space for vehicle storage, washing and a fueling center.

Last year, Amazon paid $11.6 million ($145,926 per acre / $3.35 PSF) for its 79.5-acre site at 6701 S Kolb Road in Tucson within the Century Park Research Center, an active inland port of Tucson located in an active Foreign Trade Zone (FTZ) and an Arizona Enterprise Zone, both of which provide certain duty and tax benefits.

The building under construction consists of 857,388-square-feet of warehouse storage and office facility with three levels of mezzanines, totaling 1,196,161-square-feet and an additional process mezzanine of 265,049-square-feet. The entire project will have 63 loading docks, nearly 400 transport trailer parking spaces, along with 2,500 standard parking spaces, on the site.

The fulfillment center is expected to bring with it 1,500 full time associates with competitive wages.  It is unknown how many jobs the new distribution center will bring.

The two facilities will compliment each other.

Mike Hennessey of Burris, Hennessy & Company represented Barnett & Shore Contractors the seller of 819 W Silverlake Road while Walter Unger, CCIM, of Kasten Long Commercial Group in Phoenix represented the seller, Fiandaca Orland Living Trust, of 801 W 29th Street.

“It was a quick assemblage and escrow,” according to Steve Cohen. “As both properties were already on the market for sale. With two Amazon centers here by the end of this year, Tucson is becoming the logistics center of the Southwest.”

For additional information, Unger can be contacted at 520.975.5207, and Hennessey is at 520.882.4343. Cohen should be reached at 520.546.2750 and Hall can be called at 520.546.2747.

To learn more, see RED Comps 6372 and #6379.




Houghton Town Center Ends Year with Investment Sale and New Surf Thru Car Wash Site

9172 S Houghton Rd., Tucson, AZ

TUCSON, ARIZONA – Houghton Town Center is a highly successful 60-acre community center located on Houghton Road north of I-10 and serving Rita Ranch, Vail and southeast Tucson.  Anchors include Walmart, Discount Tire, TJ Maxx, AutoZone, Petco, Brake Masters, Nationwide Vision, SuperCuts and Ross Dress For Less joined by numerous restaurants, retailers and service tenants including Northwest Emergency Center and Hughes Federal Credit Union.

Jaime Medress of Marcus & Millichap in Phoenix represented Houghton Developers’ affiliate, HTC Shops III LLC (Bill Kelley, manager) in the sale of a 9,075-square-foot retail pad at Houghton Town Center for $3.51 million ($387 PSF) at 9172 S Houghton Road, Tucson.

The buyer is an investor from San Diego, NWCD, LLC an affiliate of DePrima Ventures (Dave Karlman, director). The property was fully leased at time of sale with four tenants: Jersey Mike’s Subs, Realty Executives, Sunstreet Mortgage and Inverse Jiu Jitsu.

The buyer was represented by Bryce Karlman of CBRE San Diego / Northern Baja office.

In a separate transaction, Brenna Lacey and Jeramy Price of Volk Company represented Houghton Developers, LLC in the $925,000 ($15.42 PSF) sale of approximately 60,000-square-feet of land at 10206 & 10212 E Old Vail Road in the Houghton Town Center to Surf Thru, Inc. of Bakersfield, CA.

Surf Thru purchased the site for its fourth Car Wash in the metro Tucson region.

Craig Finfrock of Commercial Retail Advisors represented Surf Thru.

For additional information, Medress can be reached at 602.687.6700 and Karlman is at 858.546.2605. Lacey and Price should be contacted at 520.326.3200 and Finfrock is at 520.290.3200.

To learn more, see RED Comp #6431 and #6449.




El Corredor Oro Valley Retail Pad Sold for $2.4 Million

9630 N Oracle Rd., Oro Valley, AZ

ORO VALLEY, Arizona – Loredo, Texas-based, Avery Commercial Small C, LLC an affiliate of Laredo Horizons Development Corp. (Brian Moreno, COO) purchased a 7,725-square-foot multi-tenant retail building at 9630 N. Oracle Road in Oro Valley for $2.4 million ($311 PSF).

The property is a newly constructed multi-tenant retail building in El Corredor Commercial Center. Growler USA – America’s Microbrew Pub and Oro Valley Posh Nail Spa were tenants in the building at time of sale and the buyer plans to occupy the remainder for a Clear Vision Express store.

The building is adjacent to a Kneader’s with additional retail, restaurants and office space planned.

The seller, Boulder Oro Valley, LLC (Ross Rulney and Malcolm Berman, managers) are developing the seven acre El Corredor mixed-use project located at the northwest corner of Oracle Road and Linda Vista in Oro Valley.

Debbie Heslop, CCIM, of Volk Company represented the seller and Rob Tomlinson of Cushman & Wakefield | Picor represented the buyer.

For more information, Heslop can be contacted at 520.326.3200 and Tomlinson should be reached at 520.748.7100.

To learn more, see RED Comp #6442.




O’Reilly Auto Coming to New Retail Project at Ajo and Kinney in Tucson

O’Reilly Auto Parts at Golf Links & Kolb, Tucson, AZ

TUCSON, ARIZONA — O’Reilly Auto Enterprises, LLC purchased a 42,154-square-foot lot near the southeast corner of Ajo Way and Kinney Road.  The seller was SEC Ajo & Kinney LLC, an affiliate of Glenwood Development of Mesa.

The land sold for $750,000 ($17.79 PSF) and will be used to construct a 6,300-square-foot O’Reilly Auto Parts store.

Debbie Heslop, CCIM, of Volk Company represented the buyer in the transaction.

The planned O’Reilly Auto Parts will be adjacent to a multi-tenant building under construction in the new retail project being developed by Glenwood Development Company.  Tenants of that planned retail building include Domino’s Pizza, Dairy Queen and Cricket.  Kevin Volk of Volk Company is the leasing agent of this property.

For more information, Heslop and Volk can be reached at 520.326.3200.

To learn more, see RED Comp #6466.




Colony Industrial Sells Palo Verde Industrial

STAG Industrial Acquires 129,047 SF Premier Industrial Building

PHOENIX, Arizona – On behalf of Dallas-based Colony Industrial, Cushman & Wakefield announced the firm facilitated the sale of Palo Verde Industrial, a 129,047-square-foot building on 7.32 acres in Tucson, Arizona. Boston-based STAG Industrial, purchased the asset for $10.025 million ($77.68 PSF).

Executive Managing Director Will Strong led the Cushman & Wakefield Capital Markets team on the sale, with local market support in Tucson from Brandon Rodgers, CCIM, and Rob Glaser, CCIM, SIOR, with Cushman & Wakefield | PICOR.

“Colony Industrial is one of the most active real estate investors in Arizona and around the country. They did an excellent job leasing it up as well as managing and maintaining it. With the property now fully leased, Colony felt like it was the right time to sell,” said Strong.

Palo Verde Industrial is an institutional quality industrial facility in the heart of Tucson, located at 6161 South Palo Verde Road. The property features 30’ foot clear height and heavy power as well as close proximity to Interstate 10 and Interstate 19. Palo Verde Industrial is currently 100 percent leased to PODS and Big O’ Tires.

The Tucson industrial market for the third quarter of 2018 continued its strong momentum, according to Cushman & Wakefield | PICOR research. Vacancy dropped to 5.7 percent, well below the historical average of 9.5 percent.  Also, building sales volume is robust with functional inventory selling quickly. Volume through the third quarter of 2018 at $105 million, well outpaced 2017’s full-year total of $67 million.

To learn more, see RED Comp #6445.




Larsen Baker acquires Gallery Row for Office Redevelopment

Tucson, Arizona – Tucson-based Larsen Baker, through its affiliate Gallery Row Group, LLC, has acquired Gallery Row, a 22,500-square-foot commercial property at the northeast corner of Skyline Drive and Campbell Avenue. Larsen Baker will reposition the former retail property into high end office space. The center will be renamed The Gallery Offices as part of the redevelopment.

Gallery Row was purchased from an investment trust serviced by CIII Capital Partners for $3.8 million ($169 PSF). The first two tenants at The Gallery Offices will be Stewart Title & Trust and Skyline Dental. Both have signed leases and will be opening over the coming months.

Built in 1999, Gallery Row was home to many prominent art galleries including Diana Madaras and Wilde Meyer Gallery, and restaurants including Soleil, Sur Real, and Acacia. It was the first of several upscale retail developments such as La Encantada Mall constructed at the intersection over the past 15 years.

“This investment for us is first and foremost about location. Gallery Row is a beautiful, well maintained property at one of the essential corners of Tucson.” said Melissa Lal, President of Larsen Baker.  “Rather than continuing to compete with the newer retail at the intersection, we saw an opportunity to create beautiful offices with views, signage and convenient access for the high-end office users that want to be close to their clients. Sunquest’s relocation from the Williams Centre into the former MDA Headquarters, and Merrill Lynch’s relocation into the former Five Palms restaurant building this year are great examples of the trend of companies moving into the foothills. We believe this renovation and repositioning program will attract companies that have been looking to relocate, but previously lacked viable office options in the foothills.”

Operating since 1993, Larsen Baker has become the largest independent retail-commercial property owner in Tucson. It is currently developing four new retail centers that will add ±300,000 square feet to its portfolio. The firm owns and manages over 2.5 million square feet of commercial space in over 48 locations with 350 Tenants throughout Tucson and Southern Arizona.

The property redesign, renaming and rebranding will be completed in conjunction with the architectural design firm Repp + Mclain based in Tucson, Arizona. For information about leasing opportunities contact Andy Seleznov at 520-296-0200 x 218 or Melissa Lal at 520-296-0200 x 213.

To learn more, see RED Comp #6403.




HSL Buys Hampton at Williams Center for $8.2 Million to Renovate

Hampton Inn & Suites William Center

TUCSON, ARIZONA — HSL Properties purchased the Hampton Inn & Suites Tucson East/Williams Center, located at 251 S. Wilmot Road in Tucson, for $8.2 million ($81,188 per room) with plans to renovate the 101-room hotel, built in 2009.

This is the second recent hotel renovation for HSL at Williams Center, in 2015 HSL bought the DoubleTree by Hilton at 5335 E Broadway Blvd., formerly an Embassy Suites, at Williams Center for a $3 million renovation that includes a redesign of the lobby and restaurant, updates to the pool and exterior, and fully-revamped guest rooms.

The Hampton Inn features amenities such as a 24-hour business center, express check-in, and express check-out. This hotel has also has meeting facilities measuring 952 square feet (86 square meters), including a meeting room for up to 50 people.

Guest amenities include an outdoor pool, fully equipped fitness center, standard in-room and lobby WiFi, breakfast and beverage common areas, florist and on-site convenience store.

HSL now owns nine hotels, including the Ritz-Carlton at Dove Mountain and El Conquistador Tucson resorts, with over 1,700 guest rooms in total.

HSL is also building two new Hampton Inn hotels in Marana with 101 rooms, and in Rita Ranch with 104 rooms.

To learn more, see RED Comp #6389.

 




The Retreat at Tucson Sold for $56.2 Million

The Retreat at Tucson

TUCSON, Arizona — Alden Street Capital Management (Greg Olbrys and Jonathan Krasner, principals) has acquired The Retreat at Tucson, a 183-unit student housing community with 774-beds, serving the University of Arizona in Tucson. The seller was an affiliate of Chicago-based Heitman Capital Management, Tucson Real Estate Holdings, LLC.

Located at 1000 E 22nd Street in Tucson is southeast of Park & 22nd Street, 1.5 miles south of the University and served by a shuttle bus to transport residents to and from campus. In addition, two bike paths to campus are accessible from the site.

The asset closed for $56.2 million ($307,104 per unit / $72,610 per bed) on December 20, 2018.

Two-, Three-, Four-, Five- and Six-Bedroom Units

Located on an 11-acre site, originally an assemblage of 13 parcels acquired for $3.2 million. Built in 2013, The Retreat boasts the only pet-friendly, cottage-style student community with amenities that include a resort-style pool, a clubhouse, a 24-hour fitness center, a computer lab, study rooms, and a golf simulator.

Nearby shopping, restaurant and cultural attractions include grabbing a latte from Caffe Luce near the campus or stopping by Epic Cafe for a breakfast burrito. There are a range of various Mexican restaurants just outside The Retreat. To fully appreciate Tucson’s unique landscapes, drive to the top of nearby Sentinel Peak, known locally as “A” Mountain for stunning city views, or stroll east to the zoo and lakes of Reid Park, easy escapes from the city for hiking, biking and climbing.

Since its launch in 2015, New York City-based REIT Alden Street has specialized in acquiring, asset management, and repositioning value-add and opportunistic student housing properties across the U.S. The firm seeks to invest in projects requiring capital and asset level expertise.

To date, Alden Street has contracted for and or acquired assets amounting to more than $350 million of real estate value and 5,500 beds. The senior principals of Alden Street have invested over $1.0 billion worth of equity capital across all asset classes and types throughout their respective careers.

To learn more, see RED Comp #6425.