Tempe Retail Buildings Provide Urban Infill Opportunity to New Owner
- Mar 28, 2016
Phoenix–Two retail properties in downtown Tempe were recently sold by a Beverly Hills-based investor. The transaction was arranged by a National Retail Investment Group – West team led by CBRE Executive Vice President Phillip D. Voorhees, Vice President Brad Rable and Senior Associate Chris Marchildon on behalf of seller Starpoint Properties. A private investor from San Francisco acquired the properties as part of a 1031 tax deferred exchange. The combined sales price claimed by the two retail properties was $13.8 million.
Located at 420 and 501 S. Mill Ave., the two buildings offer a total of 39,979 square feet of retail space. The two assets had an average vacancy rate of 21 percent at the time of sale. The building at 420 S. Mill Ave. is home to the Gordon Biersch brewery, as well as a Starbucks and a Spinelli’s Pizza. The area’s known as a significant retail center in the Phoenix metro and offers great proximity to the country’s largest public university.
According to the team behind the marketing effort, the prospect of repositioning an urban infill asset such as the two properties generated strong competition. This transaction marks CBRE’s NRIG-West team’s 179th transaction in four years, with a total volume of $3.4 billion.