Scottsdale, Arizona -- Built in 1960, this Old Town Scottsdale institution was 100% leased to Old Town Gringos (formerly known as Dos Gringos). With one of the largest outdoor patios in Old Town Scottsdale, the property has attracted patrons for over 20 years.
The 2,948-square-foot bar/restaurant with approximately 6,000-square-feet of patio space sold for $755 per square foot. ORION Investment Real Estate was hired by the Seller, STORE Capital (NYSE: STOR) to market this asset. With substantial term remaining on the tenant’s lease, the ORION brokers for this transaction do not anticipate anything substantially changing with the operations of Old Town Gringos.
ORION’s Vice President, Michael Achtman noted, "By broadly marketing this asset and working with numerous buyers, we ultimately selected an all-cash Buyer that could close quickly and reliably due to their understanding of, experience, and enthusiasm for the Old Town sub-market."
"At over $700 per square-foot for 1960 construction, the leasing expertise and local submarket knowledge of Michael Achtman and Jennifer Eggert were instrumental in garnering multiple offers within the first week of our marketing efforts," says ORION’s President and co-listing agent, Ari Spiro.
The property was purchased by a local investment group with considerable holdings in the immediate area who was looking to add to their portfolio of properties, located in the dynamic Downtown Scottsdale market. Trent Goulette with Southwest Retail Group represented the buyer.
Downtown Scottsdale has attracted broad appeal from Millennials and Babyboomers alike and with most of Old Town Scottsdale located within an Opportunity Zone, the area has been enjoying a wave of new developments with countless major projects in various stages of planning and development. Among the most notable are the Luxury Collection and residential towers at Scottsdale Fashion Square, a $700 million, 1.7 million-square-foot mixed use second phase of SouthBridge, and Museum Square.
Achtman concludes, "There are millions of square feet of office, retail, and residential and a half dozen hotels planned within a few square miles of this property. Old Town Gringos was a rare opportunity to purchase a fixture of Scottsdale. Old Town Scottsdale has long been established as one of the best commercial cores in the Southwest and the area is poised for even more growth, redevelopment, and potential upside for the Purchasers."