TUCSON, ARIZONA — Core Tucson JIB, LLC an affiliate of Core Spaces, an Austin-based developer, has assembled six parcels for approximately $13 million ($297 PSF) adjacent to UA for new luxury student housing.  The new development planned for the site is a mixed-use student housing complex, called HUB IV, located at the southwest corner of Speedway Boulevard and Park Avenue and that stretches from Park Ave to Tyndall.

The first acquisition occurred in March 2019 and included the Jack-in-the-Box and parking lot at 934 E Speedway Blvd. for 26,559-square-feet of land that sold for $8 million by I Chief, LLC of Mesa, the seller. The second piece at 902-916 E Speedway closed recently for an additional 15,905-square-feet for approximately $5 million from Speedway Park Place, LLC of Tucson (David Lee, manager).  The two properties were separated by a 25 foot alley but it was also acquired from the City and incorporated into the site as part of the assemblage.

Located within the Main Gate District Overlay,  HUB IV will be a four- and six-story, mixed-use development with approximately 230,000-square-feet, consisting of  152 units and 485 beds, and approximately 5,000-square-feet of retail on the ground floor, and a 5,000-square-foot public terrace.

HUB IV adjoins the University of Arizona campus and will feature both below-grade and ground level parking composed of about 90 spaces, as well as an upper mezzanine level consisting of a pool and rooftop terrace.  The building’s location helps mitigate noise by strategically being placed near large University buildings and parking garages that act as buffers.

With an anticipated groundbreaking this year and a 2021 delivery, this will be Core Spaces fourth project in the University of Ariozona Main Gate District. Its Hub on Campus project, at Speedway and Tyndall Avenue which was another land assemblage, is ready to open this month.

Debbie Heslop, CCIM, of Volk Company in Tucson represented Core Spaces and David Lee of David Lee Real Estate Company represented the sellers in the latter transaction.

For more information, Lee can be reached at 520.954.8008 and Heslop is at 520.495.2235.

To learn more, see RED Comp #4589, #4590 and #7030.

Phoenix, Ariz. – CBRE represented Lincoln Rackhouse, the data center division of Lincoln Property Co., in partnership with Principal Real Estate Investors, in the sale of a Phoenix-area data center to CBRE Global Investors for $72.75 million.

Kristina Metzger and James McCarthy of CBRE Data Center Capital Markets represented the seller in the transaction. Lincoln Rackhouse and Principal Real Estate Investors purchased the data center in 2018 as part of a three-property portfolio.

“This sale represents a very successful execution of our business plan with Lincoln Rackhouse, and continues a 10-plus year track record of achieving outsized returns for our clients through investment in the data center sector,” said Ben Wobschall, director of acquisitions and dispositions for Principal Real Estate Investors.  “The competitive sale process was a testament to the continued evolution of data centers as an institutional asset class.”

Located at 2500 W. Frye Road in Chandler, Arizona, an eastern suburb of Phoenix, the 191,000-square-foot data center is 100 percent leased to a global data center services provider.

“There are more diverse buyers of data center assets today than ever before,” said Kristina Metzger, Leader of CBRE’s Data Center Capital Markets. “The Phoenix Flagship data center was attractive to foreign capital, institutional investors, and infrastructure funds, in addition to the historical, targeted data center investors.”

Phoenix was the second-most active data center market in the U.S. in 2018, with 41.5 megawatts (MW) of net absorption, according to CBRE’s U.S. Data Center Trends Report. Although new supply delivered, wholesale vacancy ended 2018 at 7.8 percent, nearing a two-year low. Metro Phoenix continues to attract data center investment given the region’s power capabilities, business-friendly environment and favorable climate conditions.

TUCSON, Arizona – CBRE announced that Bryce Horner has joined CBRE Capital Markets as associate. Based in Tucson, Horner will work under commercial real estate veteran, Mike Sandahl, focusing on investment property sales.

Horner comes to CBRE from Tucson-based Tango Commercial Real Estate. Prior to this, he launched a financial modeling technology company, serving as Chief Financial Officer. He initially got his start in the commercial real estate industry as an associate with Camden Capital in Los Angeles, where he performed investment analysis and portfolio management. Horner is a Tucson native and graduated from The University of Arizona’s Eller College of Management in 2014.

“CBRE Tucson is very excited to announce the addition of Bryce Horner to our team of talented professionals,” said Matt Siegel, Managing Director and Market Leader for CBRE’s Tucson office. “Bryce will be a valuable member of the Tucson Investment Team. Bryce holds an impressive background in finance and investments that will be a benefit to both our office and clients.”