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PHOENIX-Upon purchasing 9.6 acres, a local contractor has flipped the land to a Detroit-based developer, who will build seven speculative industrial buildings totaling about 107,000 sf.

ViaWest Properties LLC of Phoenix purchased property at the intersection of 32nd Street and Old Southern Avenue for $2.36 million or $5.65 per sf. While the property was in escrow, ViaWest cut a deal to hand it off to General Development Co., says Andy Markham, an associate with locally based Grubb & Ellis/BRE Commercial LLC. ViaWest collected $2.84 million or $6.80 per sf from the sale.

"This was a listed property, but with a long escrow. There were some archeological issues that came up during that time," Markham tells GlobeSt.com. "We ended up working the problems through, but it took awhile." He and Grubb & Ellis/BRE Commercial's Mike Haenel represented the seller, Turbo Analysis LLC of Phoenix while Ken McQueen with Trammell Crow Co.'s Phoenix office represented ViaWest. General Development was self-represented. "Basically, what happened is we represented the seller, then the seller brought in the new buyer," Markham says.

Markham tells says the construction budget has not yet been set, but it's estimated the buildings will sell for $100 per sf to $115 per sf for shell space. At this time, he adds, it's uncertain when construction will be launched.

ViaWest, which also is working with Hallandale, FL-based SunVest Communities LLC to convert class A multifamily properties into condominiums, develops office projects in the area. The buyer, General Development, also is a recognized national developer of office properties.

Instant Insights /

Local Developer Flips Industrial Land to Detroit Builder

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