PHOENIX-A fully leased, nine-year-old building near Sky Harbor International Airport has made its way into the hands of a private investor from Los Angeles. The 101,932-sf class A flex building has been acquired for $15.9 million.
Jean Murphy, senior vice president for Argus Realty Investors LP of San Clemente, CA, brokered the deal for 3930 E. Watkins St. for a buyer who was looking for an income-producing, quality institutional property. "It's a flex building so you can do a number of things with this. And, the location is incredible," says an Argus Realty spokesman. "When you have a location like that and a property that's flexible, you'll never have problems getting it leased."
The spokesman tells GlobeSt.com that the investor, who has other holdings in the area, most likely will hold the newest acquisition for the long term. "These are long-term guys," he adds. "They're not flippers."
The original three tenants who signed on to occupy the building in 1998 are still there--Lab Corp. of America, XO Communications Inc. and Expeditors International. Kitchell Property Management in Phoenix will manage the property. Rick Danis, vice president with the Phoenix office of Grubb & Ellis/BRE Commercial LLC, and colleagues Paul Boyle, Stan Shafer and Jeff Hartland represented the seller, Dividend Capital of New York City.
Financing was arranged through Calabasas, CA-based Countrywide Commercial Real Estate Finance by Brian Eisner, a principal with the Los Angeles office of George Elkins Mortgage Banking Co. The Argus spokesman says the 10-year, 5.81% fixed-rate loan has five years of interest-only payments and a 30-year amortization.
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