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TUCSON-Thermo Electron Corp. has collected $7.7 million for an 80,600-sf surplus property from a private investor in Los Angeles. The transaction, structured as a leased investment deal, closes with Spectra-Physics Inc., a laser manufacturer with its headquarters in Mountain View, CA, in the building for another nine years.

Thermo Electron sold Spectra-Physics last year to Newport Corp. of Irvine, CA, but held onto the research and development-flex building at 3321 E. Global Loop. “When Thermo-Electric spun Spectra-Physics off to Newport, they (Thermo-Electric) kept the building as income-producing property. But they’re not really in that business any more, so it’s excess real estate,” according to Rick Danis, senior associate with Grubb & Ellis BRE/Commercial LLC in Phoenix. He and G&E/BRE colleague Paul Boyle brokered the deal for the seller; and Matt Kipp of Marcus and Millichap’s Phoenix office represented the buyer.

The property was on the market four to six weeks, with Herbert Tarlow of Los Angeles scoring the win. Danis tells GlobeSt.com that the listing attracted “dozens of offers before we picked our horse and ran with it.”

Spectra-Physics, in the meantime, will remain in the building at a quoted monthly rent of 60 cents per sf, triple net, with annual increases. “This had a 7.5% cap rate,” Danis says, “and the lease in there had another nine years to run. Based on all of these components, this was a typical single tenant, triple net for this market, and time period.”

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