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PHOENIX-Following a week-long marketing period, a local developer has accepted the first offer that went on the table for the 45,608-sf Rose Garden Center, achieving the full $8.5-million ask with a 50% down payment, fast escrow and quick close.

The four-year-old asset at 21043 N. Cave Creek Rd. is appraised at $10.5 million. “It was a clean deal. The seller got a very good price for this,” says Jeff Harris, retail specialist with Retail Brokers Inc. in Phoenix, who worked with seller LNA International Enterprises LLC of Scottsdale.

On the other side of the transaction, Investment Exchange Services Inc. of San Jose, CA has gained an asset with a stable tenant base and low lease roll. The center’s location, north of Loop 101, is in a growing residential area that’s attracting many retail tenants.

Harris tells GlobeSt.com the seller opted to put the 85%-leased shopping center on the market because occupancy was stabilized, the market is hot and cap rates are aggressive. In addition, he says “they were divesting some of their assets.”

Harris says the buyer financed the deal with a five-year loan from 40/86 Mortgage Capital Inc. of Carmel, IN. The financing has a 6.75% fixed-rate interest and 30-year amortization.

Paddi-O Furniture and Wedding Accessory Superstore are the lead tenants. The rest of the roster consists of small local shops. Investment Exchange Services will lease and manage the property from its Scottsdale office. Sarah Thompson, also with Retail Brokers Inc., represented the buyer in the acquisition talks.

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