CBRE has completed the sale of Metro Gateway, a multi-tenant shopping center located at the southeast corner of 35th and Peoria Avenues in Phoenix, Ariz. The 73,146-square-foot retail property is situated on approximately 7.19 acres of land and commanded a sale price of $9.1 million, or $124 per square foot.
Andrew K. Fosberg and Joseph R. Compagno with CBRE’s Phoenix office represented the seller, Metro Gateway, LLC of Rancho Murieta, Calif., and the buyer, an entity formed by British Columbia, Canada based-REIT TitanStar Properties, Inc.
“Metro Gateway is a 97 percent occupied shopping center in the densely populated Metro Center corridor and has seen a tremendous amount of redevelopment over the past several years,” said Fosberg. “The intersection of 35th and Peoria Avenues has daily traffic in excess of 72,000 vehicles per day and more than 400,000 residents live within a 5-mile radius.”
“Metro Gateway’s rent roll was recently bolstered by the addition of Planet Fitness. The national fitness center chain was an excellent addition to other successful long-term tenants, including two pads leased to Eyeglass World and Domino’s Pizza,” continued Fosberg. “The strong tenancy made Metro Gateway an attractive investment for TitanStar, a publicly traded Canadian REIT that we have worked closely with for several years.”
Metro Gateway was built in 1977 and has a total of 10 tenants. Other draws to the shopping center, but not included in the sale are McDonald’s and Garcia’s Mexican Restaurant.