Marc Bonilla and Jim Keeley of Colliers International in Greater Phoenix have negotiated the $40.18 million sale of the Discount Tire Corporate Headquarters project located at 20225 N Scottsdale Rd.
The two-story Class “A” office project was developed by Opus West Corp. in 2002 through a structured build-to-suit agreement with Discount Tire Company’s founder, Bruce Halle. Discount Tire has been leasing the building for 15 years and Halle decided to purchase the project. Halle Properties LLC in Scottsdale (Bruce Halle, principal) paid $40,180,000 to acquire the 157,566-square-foot office building located at the northeast corner of Scottsdale Road and Thompson Peak Parkway. The seller in the all-cash transaction was Tucson-based Holualoa Thompson Peak LLC. In November of 2004, Holualoa purchased the property for $31,400,000.
The transaction was negotiated by Keeley and Bonilla of Colliers International in Scottsdale. The 5.854-acre, corporate headquarters site is located within the prestigious Grayhawk community. The corporate headquarters project is surrounded by approximately 10 acres of undeveloped land that is also owned by Halle.
“We were consulting with several high profile prospects circling the deal over the course of the last few years,” said Bonilla. “Clearly, none of them was more qualified than Mr. Halle. The price Halle Properties paid for the asset is well below replacement cost. And the value of the asset is particularly enhanced by the adjoining 10 acres also held by Mr. Halle. This strategic acquisition now gives Discount Tire unfettered control of any such growth and expansion projections moving forward.”
Discount Tire Company and America’s Tire, is the world’s largest tire and wheel retailer with more than 900 stores in 31 states. Holualoa, over the last 20 years has become a dominant investor and developer in both Tucson and Phoenix. Holualoa, is looking for additional value-add investment opportunities in the Southwestern U.S.