10 March 2017
Phoenix
Reporter: Theo Andrew
Phoenix business park acquired for $17.2 million
BKM Capital Partners has acquired a light industrial business park in Phoenix, Arizona, for $17.2 million.

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.

More news
The latest news from Real Estate Investment Times
Join Our Newsletter

Sign up today and never
miss the latest news or an issue again

Subscribe now
Joint venture buys Seattle Facebook office
24 May 2017 | Seattle | Reporter: Theo Andrew
Commerz purchased its stake in the 32,000-square metre office building for its open-ended real estate fund hausInvest
CPPIB’s real assets investment hits $73.1 billion
23 May 2017 | Toronto | Reporter: Theo Andrew
The pension fund ended the fiscal year with net assets of CAD 316.7 billion, a CAD 37.8 billion increase on 2016
Schroder and IED acquire Seville shopping centre
23 May 2017 | Seville | Reporter: Theo Andrew
Schroder purchased 50 percent of the asset for its European Real Estate Investment Trust (SEREIT), reflecting a net initial yield of 6.2 percent
Benson Elliot announces executive shake-up
23 May 2017 | London | Reporter: Theo Andrew
Mogull was previously managing partner, and Barrigan held the title of senior partner. The pair launched the company in 2006.
Barings kick starts global brand Initiative
23 May 2017 | London | Reporter: Theo Andrew
The central theme, ‘Adaptability - the new look of partnership’, is intended to highlight the opportunities Barings offers across liquid and illiquid assets globally
M&G bags Berlin office asset for €94.1 million
22 May 2017 | Berlin | Reporter: Theo Andrew
Located in Berlin’s Wilmersdorf district and recently refurbished, the property’s tenants include the Institute for Federal Real Estate and Paypal
New York leads way in global construction price rise
22 May 2017 | New York | Reporter: Theo Andrew
The survey, which compiles data from Turner & Townsend in 43 global markets, also found that construction costs are set to increase on average by 3.5 percent in 2017