The mixed-use, Plaza Centro, at the heart of Downtown Tucson’s revitalization was sold to Crow Holdings of Dallas, Texas (Daniel Feeney, VP) for $8.7 million ($367 PSF).
Located at the core of the heartbeat of downtown, 4th Avenue and Congress Street is the entertainment, dining and nightlife epicenter. The property’s 23,734-square-feet total consists of 19,067-square-feet retail and 2,219-square-feet office space.
Constructed in 2013, the modern architecture & improvements, and exceptional design of Plaza Centro was built by the seller, Oasis Tucson (Jim Campbell, manager). The seller had invested approximately $2.7 million installing the current tenants at Plaza Centro that sold 100% leased.
Tenants include Hi-Fi nightclub, Fed by Threads, Planet Smoothie, Gio Taco, Fired Pie, Obon Sushi and the World of Beer. The El Centro Garage was not part of the sale; however, the property has a lease agrement for 189 of the 378 total parking spaces in El Centro garage included in the transaction.
The investor bought the property as part of its urban infill portfolio strategy that has been acquiring properties in revitalized downtown areas such as Phoenix, Denver, Dallas, New Orleans and Portland.
The investor purchased 6501 E Grant Road in Tucson in November 2015, and this is its first investment in the downtown business district.
Nancy McClure with CBRE in Tucson and Phil Voorhees with CBRE in Newport Beach, California handled the transaction.
McClure said there were several investors that showed interest in the property but Crow Holdings was the best fit. “Having a sophisticated buyer in urban development, such as Crow Holdings give its seal of approval acknowledges that downtown revitalization is moving in the right direction,” McClure said.
Plaza Centro is the gateway of downtown Tucson’ s eastern entry and benefits from the dedicated Streetcar stop connecting the property to the University of Arizona (40,600 students), with an estimated 100,000 people living and working within a half-mile of the Streetcar route.
Plaza Centro was built with a Government Property Lease Excise Tax Incentive (GPLET) that also transferred to the new owner in the transaction.
For more information, Voorhees can be reached at 949.725.8521 and McClure is at 520.323.5117
To learn more, see RED Comp #4053