‘Steady and active’ for office sales in January. While in 2014 the most common word was ‘steady’. ‘Steady and active’ seem to better describe the Tucson office market for the first month of this year.

The following January office sales total over $3 million:

Kenneth Swanson, Inc. of Los Gatos, CA purchased a 7,280-square-feet office building for investment at 1951 N Wilmot Road, Building 2 in Tucson for $1.565 million ($215 PSF). The property was fully leased to a single tenant, Southwest Surgery, when it sold at an above average cap rate. Chris Shoemaker of Hirsch & Associates based in Capitola, CA represented the investor. The seller was Carnes Properties LLC (Billy Carnes) of Tucson that Andrew D. Sternberg and Robert J. Nolan of Oxford Realty Advisors in Tucson represented in the transaction.

To learn more Sternberg and Nolan should be reached at 520.232.0200. See also RED Comp #2398 for additional information.

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HKR Holdings LLC of Tucson (Jonathan Kearns, manager) bought a 4,000-square-feet office building in Old Farm Executive Park for $525,000 ($131.25 PSF). The seller, 6147 E Grant Road LLC (Chet Smith, manager) of Tucson occupied the office previously for Tucson Sandblasting. The buyer is a computer software company. See also RED Comp #2396 for additional information.

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Cope Properties LLC purchased two office buildings at 660-662 N Craycroft Road in Tucson for $400,000 ($117 PSF). The buildings total 3,416-square-feet and were built in 1957 and 1960 on .54 acre. The buyer purchased to occupy the property. Tom Knox, SIOR, Office Specialist with Cushman & Wakefield | Picor, represented the seller, Ramparts Investments 3 LLC (Manuel Bracamonte, manager) of Tucson. The buyer was represented by Jason Hisey with the Ray Schneider Company of Tucson.

To learn more Knox can be contacted at 520.546.2701 and Hisey’s office number is 520.869.1544. See also RED Comp #2453 for additional information.

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Phil Lipman and Jet to the Promised Land LLC of Tucson sold 630 E 9^th Street in Tucson for $304,000 ($66.64 PSF). Lipman had purchased the investment property in March 2013 and sold the excess land, in a separate transaction. The 4,562-square-foot red-brick office building was vacant; previously occupied by a non-profit group. The buyer is Orange Bambu LLC (Corbin Dooley, manager) of Tucson that owns a florist business and purchased property to owner occupy.

Kristy Kelley of Long Realty handled the transaction for seller, and can be reach at 520.918.6539 to learn more. See also RED Comps #2330, #2431 and #1477 for additional information.

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Rick and Brandy McLain purchased a 3,256-square-foot office building at 4226-4228 E Speedway Blvd in Tucson for $158,000 ($48.53 PSF). The building was vacant with deferred maintenance and buyer plans to renovate it for buyers’ two businesses. Rick is an Architect Contractor dba Repp + McLain Design and Construction, an award winning full service architecture and construction firm based in Tucson that specializes in residential and commercial desert appropriate, sustainable modern architecture. Brandy’s company, Modern House Numbers will occupy the other half. Modern House Numbers provides high quality address and mailbox numbers for the modern dweller, with distribution from Australia to Canada, California to Germany and everywhere in between.

Ron Zimmerman, Commercial Specialist with Cushman & Wakefield | Picor, represented the buyers and Barbara McGill, Associate Broker with Tierra Antigua Realty, represented to seller, Jerald Getlan of Tucson, in the transaction. To learn more Zimmerman can be reached at 520.546.2755 and McGill should be contacted at 520.490.3640. See also RED Comp #2452 for additional information.

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Bobby and Erica Poplin purchased a 2,437-square-foot office building at 5714 E 22^nd Street in Tucson for $110,000 ($45 PSF). The buyers plan to owner occupy the building (built 1966) for Poplin Construction Company. The seller, The Crisis Pregnancy Centers of Tucson (John Tabor, director) had vacated it almost a year earlier. Tom Nieman, Office Specialist with Cushman & Wakefield | Picor represented the seller in the transaction. See also RED Comp #2454 for additional information.

Login for additional information on these sales.

[mepr-show rules=”58038″] 1951 N Wilmot Rd: sale date: 1/2/2015. All cash transaction. Tenant has 4 years remaining on a NNN lease with a cap rate of 8% at time of sale. APNs: 121-01-649 & 650

Old Farm Executive Park, 6147 E Grant Rd: sale date 1/5/2015, conventional financing. APNs: 110-16-050B, 051B & 052B

660-662 N Craycroft: sale date: 1/23/2015. All cash transaction. APN: 127-03-546

630 E 9^th Street: sale date: 12/12/2014. All cash transaction. APN: 117-06-124A & 140A

4226-4228 E Speedway: sale date: 1/23/2015, $24,100 down, and balance financed conventionally. APN: 126-05-070A

5714 E 22^nd Street: sale date: 1/23/2015. All cash transaction. APN: 131-09-012 [/mepr-show]

 

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With the extended economic down-turn, non-profits have had to adapt to a tightened economy and increased demands, the same as other businesses. This is how three non-profit groups, all working with youth in the community, have recently found to cope with their real estate challenges.

Open Inn, Inc. an Arizona non-profit (Judy Tocco, President) sold its 4,500 sq. ft. building with excess land at 630 E 9th Street for[mepr-show rules=”58038″]$240,000 ($53 PSF) to Jet To The Promised Land, LLC (Phil Lipman, manager) in a sale leaseback agreement. The building was built in 1947 on an 8,024 sq. ft lot and sold with an additional 14,500 sq. ft of excess land.

Open Inn is a community based non-profit organization that has provided shelter and crisis intervention services for homeless, runaway, and at-risk youth and their families since its inception in 1974. From its Tucson hub, Open Inn has developed programs for runaway and homeless youth in rural communities in Northern and Southern Arizona, which would otherwise not be served. Open Inn serves more than 6,000 individuals per year in shelter care, supervised transitional living, independent living, life skills training, community assessment, truancy and outreach services. The non-profit occupied the building at 9th Street since 1999 and will continue to occupy it as a tenant in a sale leaseback agreement with new owner.

Gary Best and John Hamner of Keller Williams of Southern Arizona represented the seller and Phil Lipman of Bright Properties represented himself in the transaction.

In an unrelated sale, Youth On Their Own (Theresa Baker, Executive Director), also a local non-profit for youth, sold the property at 1443-1449 W Prince Road to Southwest Conservation Corps (Rob Spath, Executive Director) a Colorado based non-profit. The property sold for $331,500 ($121 PSF) for the 2,736 sq. ft. building that was built in 1980 on a 42,000 sq. ft lot.

The buyer, Southwest Conservation Corps (SCC), was founded in 1998 to provide 14-25 year old youth with structured, safe and challenging service and educational opportunities through projects that promote personal growth, the development of social skills, and an ethic of natural resource stewardship. The SCC program model was built upon the legacy of the Civilian Conservation Corps of the 1930s, and incorporates guiding principles of experiential learning, respect, openness, willingness, commitment, responsibility, pride, excellence, health and safety, and fun.

According to Spath, “We are happy to continue to be good stewards for the building and found we shared much in common with the seller, both in the same business of helping youth. During the course of the sale, we formed a good working relationship with the seller that resulted in referrals to one another. SCC will merge 3-1/2 locations, spread out around town now, under one roof at its new Prince Road headquarters.”

Dave Blanchette of CBRE in Tucson represented the seller and Tony Reed of Long Realty in Tucson represented the buyer in the transaction.

Reed is also marketing SCC’s 2,485 sq. ft. building at 1376 W St. Mary’s Road that is now vacant for sale.

Youth On Their Own moved into its new headquarters at 1660 N Alvernon Way that was acquired last December from P&J Enterprises (Eric Hein, manager) for $597,500 ($124 PSF) for this 4,800 sq. ft., 1-1/2 story building, built in 2001 on a 16,500 sq. ft. lot. According to Baker, “We were looking for more space, that would be more centrally located, and were about to give up the search when they found the Alvernon Way property. The split floor plan allows for youth programs to be expanded on the ground floor with administrative offices and board room upstairs.”

Youth On Their Own provides youth, through no fault of their own, who lack a parent or long-term legal guardian in their lives with a stable nighttime residence, financial assistance, basic needs and guidance as they work to obtain a high school diploma.

According to Baker, “It’s important to remember that non-profits are like any other business, we just give our profits back to the community. There is also a fiduciary duty to not allocate more than 30% of our contributions to the business operations while providing services. That means we must run our operation as streamlined and efficient as any other business, and that requires the right people with experience and modern equipment.” Baker continues, “It has been made possible through community sponsors, that Youth On Their Own has grown from assisting 400 students in 2010, to over 1,000 students graduating last June.”

Mark Irvin of Mark Irvin Commercial Real Estate Services represented the buyer and Ian Stuart of CBRE in Tucson represented P&J Enterprises, the seller.

For more information or to assist any of these non-profits, Open Inn is at (520) 628-9590, contact Youth On Their Own at (520) 293-1136, or reach Southwest Conservation Corps. at (520) 884-5550. Lipman can be reached at (520) 906-7215. Best and Hamner are at (520) 615-8400. Blanchette should be contacted at (520) 323-5138 and Reed is at (520) 918-5189. Stuart is able to be reached at (520) 323-5180 and Irvin is at (520) 620-1833.

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