PHOENIX, Arizona – CBRE has completed the sale of a 100 percent occupied shopping center located at the northeast corner of 51st Avenue and Baseline Road in Laveen, an urban village located within metro Phoenix. The nearly 34,575-square-foot retail property has a complimentary mix of tenants, including Jimmy John’s, Native Grill & Wings, Little Caesars Pizza, AT&T, AutoZone and Taco Bell, among others. The property commanded a sale price of $10.65 million, or $308 per square foot. The Taco Bell and AutoZone were ground leases.

Joseph R. Compagno and Andrew K. Fosberg with CBRE’s Phoenix office represented the seller, Kent, Washington-based investor as well as the buyer, a Newport Beach, California-based institutional capital buyer. New interest only bank financing was completed by Bruce Francis, Vice Chairman for CBRE Capital Markets and Western Region Manager for CBRE Debt & Structured Finance.

“We generated eleven offers for ownership during our marketing period,” said CBRE’s Compagno. “We found the Newport Beach, California based institutional buyer in our proprietary global database of investors. The buyer placed very attractive new bank financing on the property through CBRE.”

The Shoppes at Rogers Ranch is located less than one mile east from the future location of the new Loop 202 interchange along Baseline Road. Roadwork has begun on the approximately 22-mile extension of Loop 202 that will connect the West Valley and Southeast Valley, bypassing downtown Phoenix. The South Mountain Freeway will connect Interstate 10 in Chandler to the Interstate 10 in West Phoenix, and will follow Pecos Road through Ahwatukee and head north near 59th Avenue through Laveen (Source: AZDOT).

Two-Building Class A Office Campus in Camelback Corridor

PHOENIX, Arizona – CBRE Group, Inc. has completed the sale of Camelback Commons, a ±322,406-square-foot office campus located at 4722 and 4742 N. 24th St. in Phoenix. The two building, Class A office property commanded a sale price of $66.4 million.

Barry Gabel and Chris Marchildon with CBRE’s Phoenix office represented the seller, a joint venture between California‐based McCarthy Cook & Co. and New York‐based Morgan Stanley Real Estate Investing. The buyer is Los Angeles-based Regent Properties.

“Camelback Commons features an exceptional location in the heart of the Camelback Corridor, one of the Valley’s most prestigious office markets,” said CBRE’s Gabel. “Regent Properties is acquiring a trophy asset in a sought-after market with a strong, credible and diverse tenant roster with significant upside.”

Additionally, Bruce Francis, Dana Summers, Shaun Moothart, Bob Ybarra and Doug Birrell with CBRE Capital Market’s Debt & Structured Finance team secured the financing for the buyer.

“Due to the excellent sponsorship and asset profile, we received strong quotes from a broad group of lenders, including banks, debt funds and life insurance companies”, said CBRE’s Francis. “We were pleased to deliver the most competitive financing, which offered the best combination of rate, prepayment flexibility and proceeds to meet the sponsorship objectives.”

Constructed in 1986, Camelback Commons underwent a $4.5 million renovation in 2015. Upgrades to on-site amenities include a state-of-the-art conference center and tenant lounge, redesigned café with indoor and outdoor seating, fitness center with locker rooms and showers, bike sharing and short-term covered parking. Tenants also have access to improved open-air terraces and balconies along with “The Deck,” a contemporary outdoor gathering area that offers games and shaded, lounge-style seating. The site is surrounded by numerous walkable amenities, restaurants and retail destinations including nearby Biltmore Fashion Park. Access to State Route 51and I-10 is minutes away from the property.

CBRE has been engaged for property management services at Camelback Commons.

CBRE completes sale to private equity real estate fund

Phoenix, AZ – Velocis LLC in Dallas, TX (Fred Hamm, managing principal) has bolstered its real estate portfolio in the Valley by paying $39 million ($189.87 per foot) to acquire a 205,405-square-foot office-retail project in Phoenix. The three-building complex, called Park One, is located at 2111, 2121 and 2141 E. Highland Avenue in Phoenix.

Velocis, a private equity real estate fund, has purchased Park One, a three-building, multi-tenant, Class-A office development totaling 205,000-square-feet in the Camelback Corridor in metropolitan Phoenix.

A team of brokers including Barry Gabel, Chris Marchildon, and Kevin Shannon represented the seller, a joint venture between California-based McCarthy Cook & Co. and New York-based Morgan Stanley Real Estate. CBRE’s Capital Markets’ Debt and Structured Finance team, including Bruce Francis, Dana Summers, Bob Ybarra and Shaun Moothart, worked on behalf of Velocis and the lender, providing debt financing for the purchase.

“Park One is ideally located in the Camelback Corridor, which is one of the most desirable office markets in metropolitan Phoenix,” said Mr. Gabel who is with CBRE’s Phoenix office. “Park One offered Velocis the opportunity to buy a newly renovated, TOBY award-winning, income-producing property, located in the heart of the Camelback Corridor at a substantial discount to replacement cost.”

According to CBRE Research, the Camelback Corridor has the highest average rental rates and property values in Phoenix. CBRE Econometric Advisors ranks the Camelback Corridor as a top-10 office submarket for rent growth, forecasting 6.3 percent average annual rent growth over the next three years.

“This is Velocis’ second office building acquisition in the Phoenix/Scottsdale market working with Barry Gabel and his team,” said Paul Smith, principal, Velocis. “We like the office market fundamentals and the strong job growth currently taking place in the Valley.”

Jim Yoder, principal, Velocis adds, “An institutional-quality asset like Park One is a great fit for our acquisition strategy. We look forward to unlocking hidden value with additional capital improvement projects and an enhanced customer and tenant experience.”

Park One is located at 2111, 2121 and 2141 E. Highland Avenue in Phoenix. The property was 84 percent leased at time of sale and features a diverse tenant roster that includes various law firms, financial advisors, engineers and other professional services firms.

Situated within a park-like campus environment, Park One features a private two-acre lake, landscaped paths and bridges and abundant outdoor seating areas. The property also includes a freestanding restaurant/sports bar, a café and an on-site fitness center that was recently renovated in 2014 with new equipment and both above grade and below grade covered parking.

Park One is Velocis’ second acquisition in the Phoenix market. In 2015, the Fund purchased Camelback Square, a three-story Class-A office project in the heart of Old Town Scottsdale.

Velocis, has been active in real estate investment since 2011, purchasing 21 assets located in markets in Texas, Colorado, Georgia, Florida, Arizona, Virginia and North Carolina. Velocis is led by a team of five seasoned principals who are directly responsible for the acquisition, asset management and disposition of assets.