PHOENIX-A Boston fund has bought 281,917 sf of industrial space in the West Valley, paying $16.58 million for two buildings. The facilities are located about one mile from each other.

The seller, RGR Family LP of Scottsdale, has sold the two-building portfolio to Cabot Industrial Value Fund II Operating Partnership LP. The 157,523-sf building at 5310 W. Camelback Rd. is 100% occupied. Corning Gilbert Inc. has leased the property since it was built in 1981. The other building at 4502 W. Monterosa St. was built in 2000 and is vacant.

"The building on Monterosa was built for Corning Gilbert and is about a mile away from the site on Camelback," explains Joe Porter, senior vice president of the Phoenix office of CB Richard Ellis, who worked both sides of the deal. The broker says Corning Gilbert never fully moved into the structure, which has been vacant now for several years.

"We're confident that once we can get it into ownership hands and up to speed, we can lease the building," Porter says, adding that upgrades will be primarily cosmetic. The quoted rate is 55 cents per sf, triple net. It is being marketed by Porter's partners, CBRE senior vice presidents Pat Feeney and Dan Calihan, who represented the seller.

Porter tells GlobeSt.com that Corning Gilbert has six years left on its long-term lease for the Camelback Road building. He doesn't anticipate it will leave because the rental rate and product favors the tenant. "That's a specialized building, which is why the cap rate was over 8%," he says.