Northwest Business Centre comprises 11 multi-tenant buildings, totalling 227,603 square feet, and is currently 77 percent occupied.
According to BKM Capital Partners, the fund manager will fill the vacant space through implementing a $3.5 million capital improvement programme, including a new roof and car park, and installing a new heating, ventilation and air conditioning system.
Located along the Phoenix Metro’s 1-17 corridor, the business park is connected to the I-10 freeway, providing easy access to the metro area.
This is the company’s twelfth acquisition in Phoenix Metro, bringing itstheir portfolio to over 2.1 million square feet of multi-tenant light industrial properties.
Brian Malliet, CEO and co-founder of BKM Capital Partners, said: “We continue to see tremendous value throughout the Phoenix metropolitan statistical area, especially in the northwest submarket. The northwest submarket has historically demonstrated incredibly high industrial occupancy and currently has no future industrial construction planned throughout the area.”
He added: “This will drive long term demand for this asset and place upwards pressure on rents over time, allowing us to maximise our return on investment”
Brett Turner, director of acquisitions at BKM Capital Partners, said: “Our comprehensive capital improvement programme will allow us to attract and retain high quality tenants, as well as drive rent growth as leases roll.”
He added: “We now own four out of the seven business parks along the I-17 corridor. This gives us control of the surrounding competitive set, bringing our holdings to more than 700,000 square feet in the immediate vicinity.”
Cushman & Wakefield represented the vendor in the sale.