California-based investment firm completes first $8M acquisition in Phoenix
By RED News Service
– September 20, 2017
PHOENIX, Arizona – California-based CapRock Partnershas purchased a manufacturing facility in Phoenix’s highly sought-after Sky Harbor market for $8 million ($72.26 PSF). The 110,710-square-foot building is the investment firm’s first Phoenix acquisition.
The seller was Madison 225, LLC of Scottsdale. Both companies were represented by Stein Koss and Tom Louer, principals of The Koss | Louer Team at Lee & Associates.
“Phoenix is one of our target markets, as the investment fundamentals are strong with low vacancy, rising rents, and a limited supply of industrial product development,” said CapRock co-founder and president, Jon Pharris. “Unlike California’s industrial market, which has surpassed peak rents, the Phoenix industrial market is in the earlier stages of recovery with rents still below peak and the economic drivers are coming from a more diverse set of companies than the last cycle.”
The building sits on 5.8-acres that are just East of Phoenix Sky Harbor International Airport, and offers exposure along Loop 202 Red Mountain Freeway. It features 30’ clear height, 22 dock high loading doors and two (20-foot-wide) grade level doors. Plans are underway to transition the property to Class A space by significantly upgrading the interior and exterior.
“This off-market opportunity has several of the key attributes we are seeking in new acquisitions,” said Bob O’Neill, senior vice president of acquisitions for CapRock Partners, who heads the firm’s Arizona expansion efforts. “The property is located in the heart of the Phoenix industrial market and provides an opportunity to apply CapRock’s expertise, responsiveness and market knowledge in order to improve, reposition and stabilize the asset as a Class A building.”
According to CapRock, the company will create new offices, an expansive window-line and glass storefront. Extensive improvements will enhance the efficiency and function of the facility, and appeal to tenants in today’s competitive industrial marketplace.
For more information, contact The Koss | Louer Team at www.leearizona.com.
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