If the number of lots being bought by homebuilders is any indication, homebuilders’ optimism bodes well for Tucson in Q4. During the last quarter 2016 over 720-lots have sold to-date. That’s an increase of over 200% from Q3 and a 28% increase over Q4 2015.

The National builder sentiment index released last week had reached its highest point in 11 years, on the expectation of tax cuts and regulatory changes. See RED News here for full story: https://realestatedaily-news.com/us-homebuilders-turn-increasingly-optimistic/

Some of the latest year end land sales for metro Tucson follow:

NORTHWEST SUBMARKET
D.R. Horton bought 8 more finished lots at Fianchetto Farms within Gladden Farms Master Planned Community for $306,000 ($38,250 per lot) from Fianchetto Farms, LLC. This was the second takedown of a 49-lot option within this 114-SFR lot subdivision. D.R. Horton began construction here last August. Dan Feig and Aaron Mendenhall of Chapman Lindsey Commercial Real Estate Services in Tucson handled the transaction. To learn more, see RED Comp #4379.

Miramonte Homes bought four lots at La Reserve Villas for construction of townhomes for $220,000 ($55,000 per lot) from Pusch Ridge Properties, LLC of California. Buyer was exercising a rolling option for 49-lots at La Reserve Villas. To learn more, see RED Comp #4278.

SOUTHEAST SUBMARKET
A newly platted 25-lot infill project was purchased by Richmond America Homes for $1.25 million ($50,000 per lot) from Tucson Land and Cattle Company. The 19-acre Rancho Reina subdivision, located northeast of Old Spanish Trail Road and Los Reyes, received final plat approval on November 9^th from the City of Tucson. Both buyer and seller were self- represented in the transaction. To learn more, see RED Comp #4340.

SOUTHWEST SUBMARKET
Richmond American continues to build at Madera Highlands Villages at Madera Highlands Community in Sahuarita where they added another 3-lots for $266,880 ($88,960 per lot). These one-acre lots were part of a rolling option with MK Company Southwest of Scottsdale and represent 60% of the total option here. Will White and John Carroll with Land Advisors Organization in Tucson handled the transaction for buyer and seller. To learn more, see RED Comp #4350.

RB Price and Company of Tucson (Rick Price, principal) bought 336 platted and 59 partially developed lots at Diablo Village Estates for $630,000 from RES-AZ DVL, LLC of Florida. Diablo Village Estates Townhomes consists of approximately 5.95 acres with 59 partially developed lots and Diablo Village Estates is 89 acres platted for 336 SFR lots. Located near Valencia and Ajo in Southwest Tucson submarket, property is near Casino Del Sol Resort, Tucson International Airport, Raytheon, and UA Tech Park.  Ben Becker and Adam Becker with CBRE in Tucson represented the seller in this transaction. To learn more, see RED Comp #4349.

TUCSON, Arizona — Full Spectrum Healthcare, LLC of Tucson (Dr. Amanda Rose Marquis, member) has purchased a 1,158-square-foot office condominium at 5431 N. Oracle Road, Suite #151 in Tucson from BP Cresta Loma Managers, LLC of Tucson (Don Bourn, member) for $121,500 ($105 PSF).

Built in 2007, this office condominium within Cresta Loma Corporate Centre is located at the Northwest corner of Oracle and Crest Loma, north of River Road.

The buyer, a Family Medicine Practice will be relocating from its current office at Magee & Northern.

Andrew D. Sternberg of Oxford Realty Advisors in Tucson represented the buyer and David Montijo and Damian Wilkinson of CBRE in Tucson represented the seller in the transaction.

For more information, call Dr. Amanda Rose Marquis at 520.498.6467. Sternberg can should be reached at 520.232.0200. Montijo and Wilkinson can be contacted at 520.323.5100.

TUCSON, Arizona – Tucson-based, Bourn Companies (Don Bourn, manager) and its affiliate, FHM Partners, LLC have announced the acquisition of Foothills Mall from Columbus-based Schottenstein Property Group, Inc. (SPG).

Bourn has had past experience with the 514,379-square-foot mall, owning it back in 1994 when it was at 12% occupancy and then selling it in 1999 at 95% occupancy, after repositioning it into its current format of outlet and promotional retailers, restaurants and a theatre – the first Renaissance.

Since then, the mall has gone through several owners, the latest being SPG, a vertically-integrated owner, operator, and redeveloper of neighborhood shopping centers throughout the United States

Foothills Mall faced difficulty in 2016 after nearly two decades of  success with the outlet mall concept, after the opening of the Tucson Premium Outlets in nearby Marana. Within six months of the outdoor mall opening, major tenants such as Saks Fifth Avenue’s Off Fifth outlet, Old Navy’s Outlet, Hanes and Nike Factory Store closed or announced plans to close their existing Foothills Mall locations in favor of a store at Tucson Premium Outlets.

Despite these departures, the Foothills Mall’s occupancy rate is approximately 73%, according to a prepared statement from Bourn, with many tenants performing well. These tenants will provide a solid foundation for redevelopment….again, a second Renaissance.

The full 750,000-square-foot center sits at the northwest corner of La Cholla Blvd and Ina Road in upscale northwest Tucson. Mall tenants include Barnes & Noble, Ross Dress for Less, buybuyBaby and a 15-screen Lowes Cinema, alongside a 209,000-square-foot Super Walmart, Applebee’s and Outback Steakhouse on the perimeter of the mall.

“This property is a terrific large-scale in-fill location, strategically located to serve northwest Tucson, including Marana and Oro Valley. This is A+ real estate,” Don Bourn, President of Bourn Companies said in the statement.

George Larsen, CCIM, of Larsen Baker, also a Tucson retail developer says, “Bourn is the perfect owner for this property, if anyone can turn it around, it’s Bourn!  Being local is important to understanding the property and Bourn has contact all the necessary national retailers. The mall will probably be demalled into more open-air shopping. It could also be redeveloped into a mixed-use, similar to the metamorphosis that took place at the El Con Mall – a more lifestyle center.”

Bourn said in a statement, “It won’t be overnight, the change may take two to four years.”

Terms of sale were undisclosed. However, public records indicate the property was refinanced in 2006 with an $81 million, 10-year fixed rate first mortgage bearing 6.08% interest, and the property was marketed per appraisal and note value.

For more information or leasing, Alan Tanner with Bourn Companies should be reached at 520.323.1005.

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[mepr-show rules=”58038″]Buyer assumed the note as a deed in lieu for $17.5 million ($34 PSF) due Dec. 16, 2017 with optional extensions for two additional 6 month periods.[/mepr-show]