Equus, iStar Invest in Scottsdale

The private equity fund and the real estate investor and developer are teaming up to do some work in Scottsdale.

Equus Capital Partners, Ltd. and iStar have entered into a joint venture to acquire Raintree Corporate Center, a premier Class A office complex in Scottsdale, Ariz.

Bryan Taute with CBRE’s Phoenix office and Kevin Shannon and Brad Burton with CBRE’s El Segundo office negotiated the transaction on behalf of the buyers. Taute also has the marketing and leasing assignment on the property.Raintree Corporate Center

“We have been seeing increased demand for large users and Raintree Corporate Center has large contiguous blocks of vacant space that can accommodate a wide range of space requirements,” Jonathan Praw, Equus’ vice president & head of West Coast operations, told Commercial Property Executive. “We look forward to implementing our business plan and re-introducing the property to the brokerage community.”

Located at 8800 and 8888 E. Raintree Drive, the 345,000-square-foot office complex offers tenants flexible floor plans, parking ratios in excess of six per 1,000 square feet and proximity to upscale retail and residential options.

Originally completed in 2008, and strategically located on Loop 101 just north of Shea, the property also provides easy access and excellent visibility.

The building currently serves as headquarters to Meritage Homes. Overall, Raintree Corporate Center is 51 percent leased and can offer up to 140,000 square feet of contiguous space.

“We have already started working on an aggressive strategy that focuses on attracting large corporate users,” Taute said. “Based on the above market parking ratio, freeway visibility, quality of the common areas, and proximity to amenities, Raintree is well positioned to lease-up quickly.”

According to Colliers’ Greater Phoenix 2Q 2015 Office Market Report, the area recorded steady performance in the second quarter, with an uptick in net absorption, stable vacancy and ongoing rent increases. The report shows that while the first half of 2015 has served as a continuation of the trends that prevailed in the market throughout much of last year, the coming quarters will deliver greater volatility, as new projects are completed and vacated spaces come online to be backfilled.