PHOENIX—The purchase of the historic Luhrs CityCenter for $44 million is the latest example of theupswing taking place in downtown Phoenix commercial space and asign of the investor confidence that is anticipated to continue.The acquisition by Lincoln Property Company and InvescoLtd. is the second largest building sale in downtownPhoenix this year.

The buyers are focused on improving the street-level experience,with streetscapes and restaurant tenants that will add todowntown's now booming bar/restaurant market. The joint venturewill next initiate a multi-million-dollar renovation that willevolve the landmark into a mixed-use blend of creative officespace, ground floor restaurants and retail. The effort will be partof a downtown resurgence that includes an active office market,thriving restaurants, sports venues and the early-2017 delivery ofa directly adjacent, 19-story 320-room, dual brandedMarriott Residence Inn and Courtyard hoteltower.

Lincoln Property Company's executive vice president,David Krumwiede, tells GlobeSt.com: "The successof eateries and bars in the downtown Phoenix market has gone fromstruggling to thriving, so much so that, in some cases, are evendriving demand for office—and particularly creative office space inthe Central Business District. That is a tremendous and welcomeshift."

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Lisa Brown

Lisa Brown is an editor for the south and west regions of GlobeSt.com. She has 25-plus years of real estate experience, with a regional PR role at Grubb & Ellis and a national communications position at MMI. Brown also spent 10 years as executive director at NAIOP San Francisco Bay Area chapter, where she led the organization to achieving its first national award honors and recognition on Capitol Hill. She has written extensively on commercial real estate topics and edited numerous pieces on the subject.