PHOENIX – ORION Investment Real Estate facilitated the sale of a fully occupied, freestanding building for $385,000, or $196 per square foot. Selling at a 10.3% cap rate, the building was NNN leased to a local daycare operator, who currently has two other locations, and went under extensive renovations in 2017.

The property is located within a residential neighborhood in East Phoenix, off of 30th Street between Osborn and Thomas Road. The SR-51 Freeway is located less than one mile to the east of the property. Phoenix Children’s Hospital is also located less than one mile away.

Nick Miner, CCIM, and Jennifer Eggert of ORION Investment Real Estate represented both sides of the transaction. Miner said, “This was a win-win situation for both Buyer and Seller. This is a great first property for an investor getting into commercial real estate with little downside and a good return going in.”

The Seller was RSK Investors, LLC. The Buyer was locally-based Reddy Partners, LLC.

This was the Buyer’s first venture into a commercial real estate transaction and liked this property because of its location within the neighborhood. The fact that the potential downside could be offset by the rising residential market in the immediate area was enticing and offered great return for the property.

For more information on this and other high return daycare centers for sale, Miner and Eggert should be reached at 480.634.6934.

SCOTTSDALE, AZ – Scottsdale-based developer SimonCRE purchased ±3.04 acres of land at the southeast corner of Williams Field Road and Val Vista Road and will develop three retail buildings totaling ±15,000-square-feet; a ±9,900-square-foot multi-tenant retail building, a 3,000-square-foot freestanding restaurant building, and a 3,009-square-foot freestanding building.

The site is located approximately one mile west of SanTan VIllage Shopping Center and SanTan Village Marketplace. The site is also within approximately one mile of the Loop 202 Santan Freeway to both the east and the south. SimonCRE plans to break ground on the new development October 1, 2016 with a completion date set for the end of the first quarter 2017.

“We’re excited to be part of this growing Gilbert trade area and to be nestled into the strong SanTan Village retail corridor,” said Joshua Simon, President of SimonCRE. “This development will bring an exciting new mix of tenants to the surrounding communities. There’s going to be great synergy between the retail, service, and dining options that will be joining this development.”

Prior to closing, SimonCRE signed leases with First Watch, a breakfast and lunch cafe, Herbal Nails & Spa, and Planet Subs to take space in the multi-tenant building. These tenants will occupy roughly 6,800 square feet and negotiations are currently ongoing for the remaining spaces.

Additionally, Bush’s Chicken, a Texas-based fast food restaurant founded in 1996 and specializing in marinated chicken, rolls, and sweet tea, signed a lease for the 3,000-square-foot freestanding building. This will be the first location outside of the state of Texas for the restaurant chain.

Blake’s Lotaburger also signed a lease for the 3,009-square-foot freestanding building. Founded and based in Albuquerque, New Mexico, Blake’s Lotaburger is synonymous with the Green Chile Cheeseburger. The chain has grown to 80 locations across New Mexico, Texas, and Arizona, however this will be the Valley’s first location.

Lance Umble and Torrey Briegel with Phoenix Commercial Advisors represented the seller in the purchase, and are representing SimonCRE in the lease transactions. David Jarand with Strategic Retail Group represented First Watch; David Uhles and Brian Gausden with Western Retail Advisors represented Planet Subs; Mark Sunkel with Core Realty Partners represented Blake’s Lotaburger; Jennifer Eggert with Orion Investment Real Estate represented Herbal Nails; and Chris Mueller with Reata Real Estate Services represented Bush’s Chicken.

The following leases were reported to the Real Estate Daily News for the Phoenix Lease Report the week of September 28 thru October 2, 2015.

OFFICE – 5651 W. TALAVI BLVD. & 16680 N. 51^st AVE., PHOENIX
Redflex Traffic Systems leased approximately 35,760-square-feet in two buildings at 5651 W. Talavi Blvd. within Talavi Corporate Center and 16680 N. 51st Ave. within the 51 Bells project in Glendale, AZ for relocation from its current location at 23rd Avenue and Pinnacle Peak Road. Senior Directors Blaine Black, Sam Murik and Don Rodie and Associate Robb Vallier with Cushman & Wakefield represented Redflex in the lease negotiations. Ashley Brooks of CBRE represented Los Angeles-based Regent Properties, owner of Talavi Corporate Center. Redflex also leased approximately 14,000-square feet at 51 Bells. The company will take occupancy of its new spaces in December. “This was an opportunity for Redflex to rid itself of wasted space, gain efficiencies, and relocate to an area full of amenities for its employees,” Mr. Black said. Redflex Traffic Systems develops and manufactures a wide range of digital photo enforcement solutions including red light camera, speed camera, and school-bus-stop arm camera systems. Mark Linsalata of Lee & Associates Arizona represented Arizona-based 51 Bells Limited Partnership.

RETAIL – 3611 E. INDIAN SCHOOL RD., PHOENIX
A retail lease for 8,325-square-feet at Gaslight Square at 36th St & Indian School in Phoenix, AZ to Dennis Uniforms was recently consummated. The owner of the center is Gaslight Square Retail, LLC. Jared Lively of Rein & Grossoehme represented the Landlord and Blaine Black of Cushman Wakefield the Tenant on this transaction.

RETAIL – 15505-15507 N. SCOTTSDALE RD, SCOTTSDALE
A lease for 4,549-square-feet in Zocallo Plaza was recently signed with Classy Closets.  The property is located at 15505-15507 N. Scottsdale Road in Scottsdale, AZ.  The owner of the center is Enright Zocallo LP. Jake Ertle of Rein & Grossoehme represented the owner and Grafton Milne of Menlo Group represented the tenant.

RETAIL – 15551 N. GREENWAY-HAYDEN LOOP, PHOENIX
A lease for 3,200-square-feet in The District at the Airpark Center was recently signed with Sun Mountain Door.  The property is located at 15551 N. Greenway-Hayden Loop in Scottsdale, AZ.  The owner of the center is K2H Airpark Design, LLC. Steve Grossoehme and Jake Ertle of Rein & Grossoehme represented the owner and Adrienne Bryant of Bryant Commercial represented the tenant.

RETAIL – 15505-15507 N. SCOTTSDALE RD, SCOTTSDALE
A lease for 3,150-square-feet in Zocallo Plaza was recently signed with Sunset Spas.  The property is located at 15505-15507 N Scottsdale Road in Scottsdale, Arizona.  The owner of the center is Enright Zocallo LP. Jake Ertle of Rein & Grossoehme represented both the owner and the tenant.

RETAIL – 4731 E. UNION HILLS, PHOENIX
A lease for 2,499-square-feet at 4731 East Union Hills in Phoenix was recently completed between Dr. Bukhari and La Piazza Center, LLC. Jake Ertle and Jim Edwards of Rein & Grossoehme represented the landlord and Jennifer Eggert and Dena Zell of Zell Commercial represented the Tenant.

RETAIL – 4902 E. THOMAS RD., PHOENIX
A retail lease for 1,425-square-feet at 40 Palms Arcadia at 40th St & Thomas in Phoenix, AZ to The Weave Bar of ATL was recently consummated. The owner of the center is Arcadia Village Shops, LLC. Jared Lively of Rein & Grossoehme represented the Landlord and the Tenant on this transaction.

RETAIL – 125^th AVE & THUNDERBIRD, EL MIRAGE
A retail lease for 1,269-square-feet at West Thunderbird Plaza at 125th Ave & Thunderbird in El Mirage, AZ to RC Heaven Hobby Shop was recently consummated. The owner of the center is Max Taylor & Company, LLC. Jared Lively of Rein & Grossoehme represented the Landlord and the Tenant on this transaction.