PHOENIX—ViaWest Group has sold two premierclass A office buildings in the Phoenix metro area for a total of$11.1 million. CBRE negotiated the sale toMelcor Development of the 24,154-square-footPerimeter Parkview Corporate Center at 8355 E. Hartford Dr. inScottsdale, and the 35,066-square-foot Chauncey Professional Centerlocated at 6930 E. Chauncey Lane in Phoenix, for a combined59,220-square-foot investment. The buildings commanded sale pricesof approximately $4.1 million and $7 million, respectively.

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Barry Gabel and ChrisMarchildon with CBRE's Phoenix office represented theseller, ViaWest Group of Phoenix. The buyer, Edmonton, Alberta,Canada-based Melcor Developments Arizona, Inc., was represented byTom Swan with Amcal Southwest.

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ViaWest originally purchased the properties in two separatetransactions. The Chauncey property was purchased in December2006 in shell condition and ViaWest was able to lease up theproperty from zero percent in late 2007 to 100 percent by mid-2009during a very difficult leasing period. This was done throughbuilding spec suites of varying sizes, creative marketingapproaches and unique lease structures. The Perimeter Parkwayproperty was bought at a trustee sale in January 2011 with aportion of the property leased and the balance in shellcondition. Within one year of purchase the property was 100percent leased.

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Both Chauncey Professional Center and Perimeter Parkview arepresently 90 percent leased, with one suite in each propertybecoming available within the last month. Those suites total 3,708square feet and 2,486 square feet, respectively.

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“These two assets are excellent properties that are of greatquality and extremely well-located. Melcor should have much successwith them. As a local value-add operator, we will continue toredeploy capital into our strategies that generateopportunistic-type returns,” says Steven Schwarz of ViaWestGroup.

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CBRE's Gabel tells GlobeSt.com his officetracks sales over 20,000 square feet and $1 million in value. In2011 buildings in the North Scottsdale/Airpark submarket brought$114 per square foot; in 2013, 16 transaction brought $162.50 persquare foot. So far in 2014, four office transactions have averaged$180 per square foot.

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“The North Scottsdale/Airpark area has consistently outperformedthe overall Phoenix market in net absorption of office space and isone of the top job-creating economies in the U.S.,” says Gabel. “Inaddition, these properties are both surrounded by first-classamenities, high-end executive housing and the Loop 101 Freewaymaking them very attractive to both current and prospectivetenants, and solid investments for the buyer.”

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The sale marks Melcor Developments Arizona, Inc.'s entrance intothe Arizona market and ViaWest has been retained to continuemanagement of both properties keeping its management portfolio inexcess of 1.5 million square feet.

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