Cushman & Wakefield and Lee & Associates Complete Sale to California Investor

PHOENIX, Arizona – On behalf of Los Angeles-based Cohen Asset Management, Cushman & Wakefield and Lee & Associates completed the sale of an 188,142-square-foot industrial building located at 7822 S. 46th Street in Phoenix. Bailard of Foster City, Calif. purchased the property for $16.1 million ($86 PSF)

Will Strong of Cushman & Wakefield, along with Rick Lee and Conner Lee of Lee & Associates, represented both parties in the deal.

The state-of-the-art industrial/flex building, situated on approximately 11.3 acres, is 100% leased to BAE Systems. Located in the highly desirable Phoenix Sky Harbor Airport submarket, this is one of the most recognizable assets in the area due to its long-term credit tenancy, high-profile location, quality high-tech interior improvements and proximity to major freeways.

The property was initially acquired by Cohen Asset Management in 1992. This property was the first of many investments made by Cohen in the Phoenix market and was the start of the company’s 35 acquisitions in the Phoenix marketplace.

“The sale of BAE Systems 46th Street building represents continued demand for well-located industrial product leased to investment grade tenants in Metro Phoenix. It has been institutionally owned, managed and maintained by one of the largest and most active investors of industrial real estate in the city,” said Will Strong.

TEMPE, AZ –  Circle K Stores renewed and expanded its presence at Warner Crossing at their currently occupied space at 1130 W. Warner Rd., Tempe, while expanding into 1120 W. Warner Rd. for a total of 104,321-square-feet that included 75,489-square-feet at 1130 W. Warner and 28,832-square-feet at 1120 W. Warner.

Rick Lee, Principal and Conner Lee, Associate, both with Lee & Associates negotiated on behalf of the landlord, iStar Financial, New York, NY, while Mike Beall with Cushman & Wakefield represented the tenant, Circle K Stores.

Both back office buildings, built in 1996-1997, offer abundant parking and are surrounded by an outstanding labor force. Warner Crossing is located within one mile of over 2.5 million SF of new retail and hotels and just east of the I-10 Freeway and minutes from Phoenix Sky Harbor International Airport.

For more information, Rick Lee can be reached at 602.954.3742 and Conner Lee is at 602.474.9516.

The following commercial leases were reported to the Real Estate Daily News for the Phoenix Lease Report from December 21 thru 31, 2015.

INDUSTRIAL – 1140 W. WARNER RD., TEMPE
Hybrid Design Associates and Surface Mount Company (HDA SMC), an engineering and manufacturing firm of sophisticated electronic components, signed a 10-year lease for 40,344 SF at Warner Crossing, 1140 W. Warner Rd., Tempe. The lease commences in Q2 2016.  Lee & Associates Principal Rick Lee and Associate Conner Lee negotiated on behalf of the landlord, Trinet Essential Facilities XXVI, San Francisco, CA. Lance Ross of Ross Property Advisors, Scottsdale represented the tenant. HDA SMC is relocating from their current location at 230 S. Siesta Ln., Tempe.  Warner Crossing consists of several fl ex and back office buildings and is located east of Priest Dr. at Warner Rd. It is also close to Interstate 10 and Phoenix Sky Harbor International Airport.

OFFICE – 1050 W WASHINGTON STREET, STE 100, TEMPE
Maricopa County Community College leased17,500-square-feet of space at 1050 W. Washington Street, Suite 100, in Tempe from Sunstate. The space will provide conference, training and meeting rooms for on-site workforce programs and classes. Kathy Foster, senior vice president; and Todd Noel, executive vice president; both of Colliers International, represented the Maricopa County Community College District in the transaction. Mike Garlick with Newmark Grubb Knight Frank represented the landlord, Sunstate.

“Colliers was awarded an RFP last year by Maricopa County Community College District (MCCCD) and we were lucky enough to be one of the first divisions of MCCCD to use them in locating a new facility. The experience has been excellent and the support and services we have been provided by Colliers and their team is beyond what we expected,” says Sidney Dietz, director of business services for Maricopa Corporate College. The office space is near light rail with convenient access to Loop 202. “This location will be critical in accomplishing the goals of the Maricopa Corporate College,” said Foster.  The Maricopa Corporate College works with companies to develop and deliver customized workforce solutions and education for employees in virtually every industry sector. Through a strategic business partnership model, Maricopa Corporate College assesses workforce needs and delivers customized and integrated solutions to meet those needs throughout all levels of an organization.