Rollnick says the next Phoenix closing will take place in June. It's too early to say which of the six properties being scrutinized will cross the finish line first. But, he says, it will be in the 130,000-sf category. In recent weeks, Crown West made its first Arizona buy, spending $20 million on the 224,000-sf Elliot Corporate Center in Tempe. The buying spree also extended to Charlotte, NC with its first purchase in that state, a 139,000-sf building at 4701 Hedgemore Dr.
Crown West has optioned a 14-acre tract abutting Elliot Corporate Center. Rollnick says the plan is to break ground in the fourth quarter or first quarter 2003 on 165,000 sf to 185,000 sf of spec office product for a second phase. Three architects are under consideration for the design work of the Elliot Corporate Center expansion.
Crown West not only is aggressive in its buying strategy, but also in its daring spec office play. "We believe the Tempe submarket is a lot stronger than the regional data tells us," he reasons. "People want to be there."
Crown West is operating with a basic "two to four project goal" for 2002 in Phoenix. The properties being looked at right now fall into the category of business parks in a mix of industrial, suburban office, flex and back-office space. They range in age from three years to 10 years.
Crown West opened its Phoenix office in May 2001. Today, there are three people staffing the office, but more are sure to come on board since the company intends to focus hard on the Arizona market. Phoenix, Rollnick says, has caught Crown West's attention because of its recorded growth of 500 new residents per day. There's also a "fabulous infrastructure which makes it a very resilient market," he says.
Phoenix's new player owns more than 4.5 million sf in 80 industrial and business properties and 500 acres of zoned industrial and commercial land. Its primary holdings are in its homeport. Crown West is wholly owned by a New York City investment firm and also has offices in Charlotte and New York City.
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