"We'd known Hannay for a long time, had worked with them for awhile," says Tracy Cartledge, senior vice president in Trammell Crow Co.'s Phoenix office, who brokered the transaction for both sides. "We'd talked to them about this building and had all determined it was the right time and right opportunity for them to sell."
Cartledge tells GlobeSt.com that the appeal of building at 2850 S. Roosevelt Ave. for the Denver-based Dividend Capital was the consistent 100% occupancy over the long term. The 18-year-old building is leased to UPS service parts logistics, Four Wall Lighting and Total Fulfillment, all with medium terms left on their leases. "We renewed UPS during the escrow period, but none of these tenants have a long, long term," he adds.
Cartledge says the local seller's goal was to adjust the portfolio while the buyer had zeroed in on the deal because it was a good fit for its portfolio's parameters. "Dividend Capital is primarily a buyer of low build-out industrial product," he explains. "This just ended up being a good, strong acquisition for them." He says Dividend Capital, which will manage the building, closed the deal with a loan assumption.
With the building at 100% occupancy, a leasing assignment isn't a concern for the new owner at this time, Cartledge says. Also working the deal were TCC senior vice presidents Bob Buckley and Steve Lindley.
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