The Consumer Price Index for All Urban Consumers (CPI-U), or cost of living, increased 0.4 percent in May, the largest jump since February 2013 on a seasonally adjusted basis, the U.S. Bureau of Labor Statistics reported Tuesday. Over the last 12 months, the all items index increased 2.1 percent before seasonal adjustment.

The seasonally adjusted increase in the all items index, was broad-based. The indexes for shelter, electricity, food, airline fares, and gasoline were among those that contributed. The food index posted its largest increase since August 2011, with the index for food at home rising 0.7 percent. The increases in the electricity and gasoline indexes led to a 0.9 percent rise in the energy index.

The index for all items less food and energy rose 0.3 percent in May, its largest increase since August 2011. Along with the indexes for shelter and airline fares, the medical care, apparel, and new vehicle indexes all increased in May. The indexes for household furnishings and operations and for used cars and trucks declined.

The all items index increased 2.1 percent over the last 12 months; this compares to a 2.0 percent increase for the 12 months ending April, and is the largest 12-month increase since October 2012. The index for all items less food and energy has increased 2.0 percent over the last 12 months. The food index has advanced 2.5 percent over the span, its largest 12-month increase since June 2012.

Treasury securities dropped, pushing the yield on the benchmark 10-year note up to 2.65 percent at 4:18 p.m. in New York Tuesday, compared with 2.60 percent at the close Monday. The Standard & Poor’s 500 Index rose 0.2 percent to close at 1,941.99.

Commercial Properties, Inc. announced the sale of a 72,570-square-foot industrial property located at 8100 W. Buckeye Rd. in Tolleson, Ariz.  Andy Jaffe, SIOR of CPI’s Tempe office represented the buyer, Barnhart Crane and Rigging Company, in this transaction.  The masonry building was built in 1998 and is a single tenant building near the corner of 83rd Avenue and Buckeye Road as part of a  nuclear regional response center.

The sale was valued at $3.9 million ($54 PSF).

This center was established in response to the Fukushima accident in Japan in 2011 where power was lost to effectively cool the reactor.  The Phoenix center will be capable of getting the necessary equipment on-site using air and ground transportation within 24 hours to any site in America.

Randy Edington, executive vice president and chief nuclear officer at Arizona Public Service Company, which operates the Palo Verde nuclear facility commented, “Equipment from the regional response centers will enable all nuclear plant operators to protect their reactors and used fuel storage pools until normal power and cooling systems are restored.  This is an addition to other measures, including built-in safety systems, the use of on-site portable emergency equipment, and portable equipment and materials on hand at all 62 nuclear energy facilities that can be utilized and shared during an emergency.”

Each facility contains five sets of equipment including portable backup generators, pumps, standardized couplings and hoses to be deployed into the field, and will undergo regular testing for operability.

According to Andy Jaffe, SIOR, “Their final decision to occupy was the large amount of land on-site, and overhead doors that aligned for ease of ingress and egress of their equipment.  Also, it was a clear spanned building, which permits movement of their equipment, and proximity to the airport and freeway accessibility were key factors.”

Hercules Capital, parent company of Denver-based Hercules Industries bought the 31,682-square-foot industrial building (built 1972) at 3195 E 36^th Street in Tucson for $1.7 million ($53 PSF) with 2.6 acres northeast of Country Club and 36^th Street. Hercules will be expanding when it relocates from its current 8,000-square-foot location at 503 W Rillito Street in Tucson.

Hercules Industries, a manufacturer and wholesale distributor of high-quality HVAC sheet metal products and equipment, was founded in Denver in 1962 by William E. Newland, Hercules Industries is now one of the largest companies of its type in the Western and Midwestern United States. It operates four manufacturing facilities and thirteen sales and distribution centers in Denver, Colorado Springs, Fort Collins, Grand Junction, Pueblo, Durango, Salt Lake City, Albuquerque, Roswell, Tempe, Phoenix and Tucson.

The company is owned and managed by 3^rd generation members of the Newland family, with the same dedication to excellence that has been the foundation of success for over five decades.  According to Andy Newland, “We nurture and maintain the culture of a family owned business in which our employees grow financially, intellectually, emotionally and spiritually.”

Hercules was represented in the transaction by Chad Ackerley with CPI of Phoenix who commented, “Increasing the footprint four times its current size, indicates the future growth Hercules sees for the Tucson construction industry.”

The seller, Horizon Relocation Services, an affiliate of Horizon Moving Systems, an Arizona-based moving company was recently acquired by Suddath Relocation Systems, headquartered in Jacksonville, Florida. Horizon Moving Systems had been a family-owned business in Tucson for 90 years, with the Dusenberry family as owner / operators for three generations before selling to Suddath.

Steve Cohen of Cushman & Wakefield | Picor represented Horizon in the transaction commented, “It is interesting that both seller and buyer are third generation family-owned businesses; Hercules from Denver and Horizon from Tucson.”

Cohen can be reached at (520) 546-2750. Ackerley can be contacted at (480) 889-2570.

[mepr-show rules=”58038″]Sale date: 2/14/2014. Exact sale price: $1,690,000. Buyer paid $410,000 down. APN: 132-04-05F & 005H. OFFICE SPACE: 1,100 SF; LOT SIZE: 2.58 Acres; CEILING HEIGHT: 18 – 24 ft; CONSTRUCTION: Concrete Tilt-Up; ZONING: I-1 (Light Industrial); LOADING: Dock, Grade and Step Height; HVAC: A/ C Office, Evap Warehouse; AGE: 1972[/mepr-show]