"The capital market was strong for this product type," Barry Gabel, senior vice president with Trammell Crow Co.'s Phoenix office, tells GlobeSt.com about the one-off disposition of East Valley Commerce Plaza. The two-building, flex development at 325 and 375 E. Elliot Rd. sold to a private investor from Chandler, who turned around 1031 Exchange funds to make the close.
The 5.3-acre East Valley Commerce Plaza, built in 1986, consists of a 23,262-sf building and 36,800-sf structure, now 87% leased to seven tenants. The sweet spot is "there is minimal turnover until 2007," Gabel says. Rent ranges from 65 cents per sf to 75 cents per sf net. TCC senior associate James Harper will manage and lease the property.
Gabel says TIAA brought the holding to market without an ask. He won't disclose if the Chandler investor was the top offer of those competing in the final round, but did acknowledge the certainty of closing on time weighed on the decision. East Valley Commerce Plaza's appeal is a gateway positioning at the north entry to the 80-acre Arizona Corporate Park.
The development's new owner is actively looking to add to an office and industrial portfolio in the metro, according to Gabel. The acquisition closed with financing arranged by mortgage correspondent, Keig Financial Corp. of Phoenix. Gabel and TCC senior vice president Mindy Korth represented the New York City-based TIAA.
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