Broe Real Estate Group Sells $14M Tempe Office Asset
- Nov 10, 2016
Tempe, Ariz.—Broe Real Estate Group, a leading investment manager of commercial real estate assets affiliated with The Broe Group, alongside Greenlaw Partners, a California-based real estate operating company, have closed the sale of the Tempe 10/60 Corporate Center in Tempe, Ariz., for $14.3 million.
“We originally purchased the property directly from a major special servicer in April 2014 for $3.5 million, and immediately began a $4 million renovation and property reposition, which created significant competitive advantages, and helped to drive robust, near-term leasing success,” Doug Wells, CEO of Broe Real Estate Group, said in a statement.
The redeveloped property consists of two-story office buildings featuring 90,000 square feet, and is located at 4415 & 4625 S. Wendler Drive, along Interstate 10. Broe and Greenlaw demolished a third building on-site to increase the parking ratio from five spaces per 1,000 square feet to 7.1-spaces per 1,000 square feet. The above-market parking ratio allowed the owners to target high-density office users, which differentiated the property from its competitors. The renovation of the property also included a landscaping overhaul, new interior common areas, new roofs and HVAC equipment.
The campus was 76.4 percent leased at the time of sale, and provided stable cash flow. The significant upside potential for leasing the remaining vacant space was a strong selling point for the property.
Image courtesy of JLL