David Day's newest buy is Gilbert Cove, a class B complex located at 1400 N. Gilbert Rd. in Gilbert. It consists of two single-story medical office buildings and one two-story general office structure.
Metro Phoenix properties of all product type are changing hands at a brisk pace. Brokers say the constant shifting, particularly smaller properties, is normal for the Phoenix area.Eric Wichterman and Stan Shafer, both of the Phoenix office of Grubb & Ellis Co.'s Investment Advisory Group represented buyer and seller, Ontario, CA-based Olson-Arizona Investments LLC. Wichterman tells GlobeSt.com that the property was never listed on the market.
Wichterman was doing a routine check with property owners to identify those who might be willing to sell when Olson-Arizona said "yes." Wichterman ran the numbers and put together an offer with a client.
Gilbert Cove was the Olson-Arizona's sole holding in the state. The buyer, on the other hand, owns several other small office buildings and some industrial product in Phoenix.
The office complex is located in the Mesa/Chandler submarket. According to Grubb & Ellis' first quarter office report, the submarket has 2.7 million sf of office space in classes A, B and C. In the first quarter, the submarket posted 94,406 sf of positive absorption.
Mesa/Chandler scored third for the highest absorption in metro Phoenix; only North Scottsdale and West Phoenix fared better. Mesa/Chandler has a 25.6% vacancy rate and an average lease rate across all classes of $19.35 per sf.
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