PHOENIX-Chicago-based First Industrial Realty Trust taken title to 800,000 sf of development on about 59 acres in the southwest submarket, paying $34.8 million to the Mack Co. for a trio of under-construction buildings and three that are fully leased.

The deal includes another 11.6 acres upon which another 200,000 sf of build-to-suit industrial space can be developed in the Mack Enterprise Center, says Payson MacWilliam of Colliers International, who brokered the deal along with his brother, Don. The existing buildings, considered to be phase I, are located at 405 N. 75th Ave. Broomfield, CO-based Corporate Express is the largest tenant with 60,000 sf.

The three buildings under construction are about 20% preleased and will be finished in April 2005, MacWilliam says. Rents in the buildings range from $4.32 per sf to $5.52 per sf triple net. All six buildings are appropriate for manufacturing and distribution operations and can accommodate tenants ranging from 5,000 sf to 150,000 sf.

MacWilliam tells GlobeSt.com that Mack Co. originally intended to be a long-term holder of the buildings. However, he approached the developer and suggested they consider selling given the dynamics of the market. “There’s a lot of demand for the type of product,” he says.

MacWilliam pursued three potential buyers before Mack Co. accepted First Industrial’s offer. “They got a price that [made them think] it would be a good time to sell,” he explains.

First Industrial, which owns several other industrial buildings in the Valley, likes the buildings location near Loop 101 and Interstate 10. Moreover, the REIT is looking forward to the opportunities they present, MacWilliam says. “The buildings have the flexibility to see every industrial deal in the market including build-to-suits,” he adds.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

 

GlobeSt Net Lease Spring 2024Event

This conference brings together the industry's most influential & knowledgeable real estate executives from the net lease sector.

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.