"Equus is trying to increase the size of our properties so we are disposing of our smaller properties to concentrate on our larger assets," David Bourne, Equus chairman and manager of Equus PHX1 LLC, the selling entity, tells GlobeSt.com. Bourne said the investment group expects to spend $300 million in the next two years acquiring assets and portfolios in the $10-million to $100-million range.
The 43,847-sf Northview Professional Plaza, located at 15600-15650 N. Black Canyon Highway in Phoenix, is among several the investment group is divesting of as part of its strategy. Equus also has another of its Phoenix-area holdings, a 75,000-sf office building at North 95th Way in Scottsdale's McCormick Ranch, on the market.
Bourne said the investment group received about five serious offers on the three-building Northview property, but selected Northlake Holdings because the buyer was a solid investor in a 1031 Exchange. "We had several offers, but this was among the highest," he said of the buyer's $5.15 bid, which came just $50,000 short of the original $5.2 million asking price. "We were very happy with the price . It was a very fair price , given that (the property) was 95% occupied." Equus purchased the property in 1998 for $3.9 million.
Bourne said Equus presently has about $30 million in 1031 Exchange money to place in the market and is focusing its efforts on finding properties in the Western US, including Phoenix.
Steven J. Schnitzer of Coldwell Banker Commercial-Metro of Phoenix represented the buyer in the Northview transaction. Bob Buckley, Steve Lindley and Tracy Cartledge of Insignia/ESG in Phoenix represented Equus, headquartered in La Jolla, CA. Bourne along with Chad Carpenter, Equus president and CEO, managed the selling entity.
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