Hensel Phelps breaks ground on 21-story “small unit” apartment development in Roosevelt Row Arts District

PHOENIX, AZ. – General contractor Hensel Phelps in February broke ground on Derby Roosevelt Row, Metro Phoenix’s first “small unit” apartment development.

Located in the highly sought-after Roosevelt Row Arts District, Derby Roosevelt Row 800 E. 2nd St., will be a 21-story high-rise featuring 222 residential units over six stories of above-ground parking.

Over half of Derby Roosevelt Row’s units will be studios, averaging 350 SF. All 222 units will come fully furnished. Amenities will include a pool deck on the seventh level, a roof-top deck on the 21st level, and retail space on the ground level. Construction completion is scheduled for 1Q 2022.

“These small unit apartments are the first of their kind in Phoenix and are an exciting addition to the vibrant Roosevelt Row neighborhood,” said Hensel Phelps Project Manager John Doherty. “We have enjoyed building a strong and trusting relationship with the owner, developer, and design team and are excited to begin construction.”

The owner is Denver-based real estate private equity firm Ascentris, the development manager is Transwestern Development Company. Architect of record is Wilder Belshaw Architects.

Notable subcontractors include University Mechanical & Engineering Contractors (UMEC) and Specified Electrical Contractors, Inc. (SECON). Hensel Phelps will be self-performing the cast-in-place structural concrete.

CBRE Completes Sale of AutoZone Ground Lease at a 4.22% Cap Rate in Gilbert

PHOENIX, ARIZONA– CBRE has completed the $1.35 million sale of a single-tenant AutoZone ground lease located at 6278 South Higley Road in Gilbert, Ariz. The 7,370-square-foot building is located within Chandler Heights Village shopping center on Higley and Chandler Heights roads.

Joe Compagno of CBRE’s Net Lease Property Group in Phoenix represented the seller, Arizona-based STF Retail Partners 1, LLC, and the buyer, Honggie Kim, a California-based private investor.

“The buyer entered escrow while the property was still under construction and three months ahead of the tenant opening for business,” said CBRE’s Compagno. “This shows strong demand for the single tenant triple-net market, which we expect will see even greater demand moving forward.”

The property is located in Gilbert, Ariz, one of the fastest-growing cities in the United States with over 58,000 new residents since 2019 (Source: Esri), and is located down the street from the upscale community, Seville, which includes the Seville Golf & Country Club, over 9,000 homes built between 2002 and 2019, and numerous other family-oriented amenities.

Marcus & Millichap Arranges the Sale of Old Vail Plaza, a 4-Suite Retail Property in Tucson, AZ

TUCSON, AZ Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, has announced the sale of Old Vail Plaza, a 7,200-square-foot, four-suite retail property located in Tucson, Arizona. According to Ryan Sarbinoff, regional manager of the firm’s Phoenix office, the asset sold for $2,825,000 ($392 PSF).

Scott Ruble, Mark Ruble, Chris Lind, and Jamie Medress, investment specialists in Marcus & Millichap’s Phoenix office, had the exclusive listing to market the property on behalf of the seller, a limited liability company.

Old Vail Plaza is 100% leased to Baggin’s Gourmet Sandwiches, One Nail Lounge, Desert Zen Yoga, and Brooklyn Bedding, all with all triple-net leases in place. The property is located at 10235 East Old Vail Road in Tucson within the Houghton Town Center and surrounded by major retailers such as Walmart Supercenter, Petco, T.J. Maxx, Ross and more.

The closest major intersection sees over 24,600 vehicles per day and there are currently approximately 47,192 residents within the growing southeast Tucson trade area. The average annual household income exceeds $92,000 within five miles of Old Vail Plaza and households in that same area are projected to increase over 22% in the next five years.

To learn more, see RED Comp #7642.