Newmark sells 110K SF Foothills Corporate Center I
Newmark has announced that it has completed the sale of Foothills Corporate Center I, a 110,360 square foot value-added office building in Phoenix, Arizona. Executive Managing Director of Newmark CJ Osbrink and Managing Director Scott Scharlach led the sale with co-head of U.S. Capital Markets Kevin Shannon. Newmark represented both the seller, SDC Foothills, Inc., a global investment manager, and the buyer, WG Group. This was WG Group’s first acquisition in the Phoenix market.
Located at 14415 S. 50th Street in Phoenix, Foothills Corporate Center I is a one-story, 110,630 square foot office building with excellent visibility and easy freeway access. At the time of the sale, the building was 64% leased to a single tenant. The new owner plans to convert the property into flexible/light industrial space to meet the growing demand in this sector.
“The Foothills Corporate Centre’s existing infrastructure and unobstructed heights, combined with a highly accessible location, make it an ideal candidate for a flexible conversion,” said Osbrink. “We are pleased to have reached favorable terms for both parties involved and look forward to seeing the buyer’s redevelopment plans come to fruition.”
Located just off Interstate-10, one of Arizona’s busiest arteries, Foothills Corporate Center enjoys excellent visibility, within sight of approximately 206,000 vehicles per day. The property also features easy access from Ray Road and the I-10 Freeway with signage to important buildings and landmarks available on I-10. The amenity-rich location offers an abundance of restaurants and shopping within walking distance and a short drive away.
According Newmark Research, Phoenix’s industrial market is growing in importance as an important regional hub in the Southwestern United States. Port markets in Southern California are constrained by extremely low vacancy rates near or below 1%, and the Phoenix market is less than a day’s drive away by truck. of Southern California, as well as having an abundance of land available at relatively low cost. Additionally, Phoenix is also well connected (a day-long truck ride) to the booming western metros of Las Vegas and Salt Lake City. The above factors coupled with high population growth, especially due to inward migration, are pushing the industrial market in Phoenix to new heights.