Palm Valley Village Trades For $10M

GOODYEAR, AZ-JRFCo. LLC bought the 30,560-square-foot Palm Valley Village Center, paying SunCor Development Co. $10 million in the direct deal. The retail center, which is 94% leased, was completed about a year ago.

Located at Litchfield and Indian School Roads, the 13.5-acre Palm Valley Village Center is anchored by a 65,000-square-foot Walmart Neighborhood Market, which was not part of the transaction to the Denver buyer. The retail center is also part of the 12,000-acre, master-planned Palm Valley, a mixed-use development under Tempe, AZ-based SunCor’s direction.

According to SunCor director of office and industrial development Mitchell B. Rosen, the company’s overall business plan called for the sale of the asset at Litchfield and Indian School Roads upon its stabilization. But there is still room for upside.

“The upside is in the additional leasing,” Rosen tells GlobeSt.com. Current tenants include MidFirst Bank, Quizno’s, United Blood Service, Bruno’s Pizza, Ground Control, American Made Bike Shop, Shasta Pools, Beijing Chinese Cuisine and J’s Barber Shop, all of which have between five- and 10-year leases. Rosen says SunCor Management Co. will continue leasing and managing the property.

Palm Valley Village isn’t the only asset from the development to be offered for sale. According to SunCor’s Web site, the 150,000-square-foot Palm Valley Office Park at Litchfield and McDowell roads and parcels from the retail development Palm Valley Crossing at Litchfield road and Interstate 10 are available for purchase.

Also on the drawing board in Palm Valley is the 1,600-acre Palm Valley 303. The mixed-use development will have class A office space, flex office and light industrial, warehouse and distribution and retail space that will total close to 20 million square feet upon build out. SunCor broke ground on Palm Valley 303′s first phase, a 440,168-square-foot cross-dock warehouse early in 2008.