Commercial Real Estate & Business News – April 24, 2014

Parcel Sold At Scottsdale Airpark Once Planned For 150,000-Square-Foot Office-Hangar

A 9.5-acre parcel with taxi-way access at Scottsdale Airpark that was once planned for a 150,000-square-foot office-hangar has been sold for $8.325 million. Maricopa County records show Boeing V LLC in Phoenix paid cash to buy the site. The seller was Phoenix Dragon Fei LLC in Scottsdale (Bing Hu, manager). The buying entity was formed by the Tait family… Read more »

Multifamily Borrowers Beating Path to Banks

Bankers appear to be of two minds when it comes to the hot multifamily market. Many are lending aggressively while demand is strong, while some say they are starting to back off a little because of the intense competition for business. Multifamily construction has remained strong in major markets across the country, according to bankers discussing their first quarter performance… Read more »

Scottsdale’s Economic Uptick Reflected In Construction

Scottsdale has left behind the post-recession sluggishness in a cloud of construction dust. In south Scottsdale, SkySong Apartments have just been completed along the McDowell Road corridor and construction is advancing on Mark-Taylor’s 572-unit, gated apartment community next door… Read more »

Rubio’s Plans To Hire 400 In Arizona As Part Of Larger Hiring Spree

Fast-casual chain Rubio’s Fresh Mexican Grill is planning to add 400 workers at its Arizona restaurants as part of a larger hiring spree across three states. Beginning today, San Diego-based Rubio’s will host a series of job fairs to fill more than 2,000 positions ahead of the summer season at its stores in Arizona, California and Colorado… Read more »

Upward Adjustment in Cap Rates?

Rising interest rates and cap rate compression: how long can this continue? We’re hearing these questions a lot these days: “What is the 2014 outlook for cap rates and interest rates? When will cap rates start rising again?” … Read more »

Commercial Real Estate & Business News – April 23, 2014

Phoenix Retail Market Goes From Bleak to Bright

When the recession was in full swing, one of the markets that took the biggest hit was Phoenix. Residential and commercial real estate were overbuilt in the market, and the retail sector became a casualty. That’s all changing now, as retailers are starting to expand into the market. Retail real estate vacancy rates in Phoenix are currently around 10.5% and expected to fall below 10% by the end of the year… Read more »

Holiday home sales rise strongly in the US, but still down on peak of 2006

Holiday home sales in the United States rose strongly in 2013, but investment purchases fell below the levels seen in the previous two years, according to new data from the National Association of Realtors. The NAR’s 2014 investment and vacation home buyers survey… Read more »

Apartments Near Mesa’s Falcon Field Proposed

A proposal to build apartments near Falcon Field, which already is under siege from neighbors complaining about airplane noise, ran into heavy flak last week from City Council members. The request comes in the form of a proposed major General Plan amendment filed by Daedalus Real Estate Advisors LLC, which owns Longbow Business Park and Golf Club… Read more »

Pain Center Opens New Location in Glendale

The Pain Center opened the doors on its new 12,000 square-foot new administrative headquarters in Glendale with a ribbon-cutting ceremony recently, says Your West Side Valley. The new administrative facility is located at 5281 N. 99th Ave., not far from Westgate… Read more »

Dept. Of Real Estate Board’s New Member To Address Property Management Issues

By way of Gov. Jan Brewer’s signature last week, the multifamily property management business will be represented for the first time on the Arizona Department of Real Estate’s advisory board. Senate Bill 1213, Brewer signed on Thursday, requires one extra member to be added to the current nine-member board. The 10th member must be a licensed broker with at least five years experience in the property management field… Read more »

Commercial Real Estate & Business News – April 22, 2014

Changing Market Creates New Challenges For Corporate Real Estate Advisers

As the global marketplace evolves faster than ever before, corporations are viewing their real estate holdings as an increasingly important factor in their profitability and strategic growth. Many directors and managers who advise corporations on their real estate decisions are experiencing this shift… Read more »

City Of Phoenix Tries To Bring New Life To Metrocenter Mall

The city of Phoenix is trying to save one of the Valley’s aging shopping malls. It has approved a plan to revitalize Metrocenter and surrounding neighborhoods in northwest Phoenix. Anyone who has lived in the Valley for a long time probably remembers the excitement when Metrocenter opened more than 40 years ago. It was promoted as the largest shopping mall in the country… Read more »

Walk-In Urgent-Care Companies Are Providing Relief to Retail Landlords

People with relatively minor health problems—say, the flu or a deep cut—aren’t the only ones getting relief from growing walk-in “urgent care” companies such as CityMD and PM Pediatrics. These companies also are providing a little tonic to retail landlords. In the last four years, more than 20 of these centers have opened in the New York region, offering a no-appointment alternative to the emergency room or doctor’s office… Read more »

DeRito and Van Tuyl Buy Big in Arcadia Lite

The neighborhood shopping center at the southwest corner of 32nd Street and Indian School Road sold yesterday in two transactions totaling $16.75m. Currently anchored by Bashas-subsidiary Food City as well as an AMF Bowling Alley, the 155,634 ft2 shopping center sits on 13.09 acres at the intersection of two major arterial roads… Read more »

Refi Arranged for Mesa-area Apartments

Johnson Capital has arranged an $8.9 million loan for a multifamily property located in Mesa. The property, Sandstone Apartments, contains 234 units and was completed in 1985 on 8.69 acres located at 1727 W. Emelita Avenue. The multifamily property has a swimming pool, basketball court, two laundry facilities and a standalone rental office with fitness facility… Read more »

Commercial Real Estate & Business News – April 21, 2014

Arizona’s Construction Sector Shows Modest Job Gains In March

Arizona construction industry employment ticked up by 2.5 percent year-over-year in March, accounting for 3,100 jobs gained during the period, according to a Associated General Contractors of America report released today. Arizona ranked just 26th in the nation for construction sector job growth… Read more »

GE Capital Sells One 11 Monroe

Rialto Capital Management—a wholly owned subsidiary of Lennar Homes—has acquired One 11 Monroe, the lender-owned office tower at the southwest corner of Monroe Street and 1st Avenue in Phoenix, for $22m or $86.11 per rentable square foot. Rialto paid $2m in cash for the property and secured an additional $20m in new debt with Jeffries LoanCore… Read more »

Elevation Chandler Skeleton to Become 390KSF, 335-Unit, $150M Mixed Use Showcase

When the ten story skeleton of concrete and steel is hauled away, the Great Recession icon at Loops 101 and 202 and Chandler will be gone. Its demolition and scrapped remains could be the symbol that the economic downtown is over in the Valley of the Sun. That project was once called Elevation Chandler, not to be confused with Elevation, the luxury apartments going up east of Loop 101, announced about a year ago… Read more »

Gateway Poised for Growth

Thanks to a unique outreach effort led by Phoenix-Mesa Gateway Airport Authority, Able Aerospace Services and SRP, aerospace leaders attending MRO Americas convention in Phoenix gained a birds-eye view of the Valley’s many expansion and relocation opportunities—courtesy of a VIP aerial helicopter tour and visit to Able Aerospace Services, a $20 million build-to-suit success story at Phoenix-Mesa Gateway Airport… Read more »

Market Trend: Phoenix Industrial Vacancy Rises to 13.1%

The Phoenix Industrial market ended the first quarter 2014 with a vacancy rate of 13.1%. The vacancy rate was up over the previous quarter, with net absorption totaling positive 597,026 square feet in the first quarter. That compares to positive 2,677,479 square feet in the fourth quarter 2013. Vacant sublease space increased in the quarter, ending the quarter at 2,026,589 square feet… Read more »

Commercial Real Estate & Business News – April 18, 2014

Construction is under way on Hayden Ferry III, a 261,000 square foot, Class A development in the Tempe submarket of Phoenix. Hayden Ferry III will be the final phase in Parkway Property’s 780,000 square foot master planned office community. The 10-story property will be located along the south shore of Tempe Town Lake, offering waterfront views and accessibility to the Mill Avenue entertainment district and light rail system…Read more »
The 17/Union Hills Business Center, a two-building, 113,880 SF industrial and showroom project is expected to break ground May 2014 at 2350-2400 West Union Hills Drive in Phoenix. The multi-tenant project consisting of 61,320 SF and 52,560 SF buildings will feature 24’ clear height, dock and grade level loading, ESFR fire protection and fenced truck courts. Space availabilities begin at 4,755 SF. Each suite will offer at least one dock door and one grade level door, with many of the suites offering multiple dock doors per bay… Read more »
A venture formed by Trinsic Residential Group plans to develop a 220-unit apartment complex on a infill site in central Phoenix. The multi-family community is targeted for a 7-acre site that wraps the northwest corner of 20th Street and Indian School Road. The Trinsic venture is assembling the land from three sellers in deals that will total nearly $6 million… Read more »
Arizona employers added 15,600 net jobs in March, but it wasn’t enough to budge the state’s 7.3 percent unemployment rate. The private sector added more than 17,000 jobs, but government losses again erased some of the gains. The flat unemployment rate mirrored the national pattern, where the jobless rate remained stuck at 6.7 percent. A year ago, Arizona’s unemployment rate stood at 8.0 percent… Read more »
The fastest growing sector among real estate investors is the net lease market. Yes, good old boring single-tenant, investment-grade buildings. With the upside pretty much capped, it never garnered too much attention outside of 1031 exchange investors and stodgy institutions. However, that has changed dramatically. With bond yields at record lows over the past three years, net lease buildings have gained favor as alternatives to fixed-income investments by providing steady returns while maintaining low risk… Read more »
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