The prestigious North Scottsdale office market – home to several of Arizona’s largest and most notable employers, including HonorHealth, Vanguard, Fender and Quicken Loans – now boasts one of the most desirable investment/occupier opportunities in the country. German-based consumer products global leader, Henkel, is seeking a buyer for its 368,000 square foot Class A office and research and development (“R&D”) facility as the company prepares for its relocation to Stamford, Conn. Notwithstanding office and R&D space, the building lends itself to a multitude of uses including biotech, education, medical and data center.
Located at 7201 E. Henkel Way in Scottsdale, Ariz. at the intersection of Scottsdale Road and Loop 101, the building was designed by Phoenix-based architect Will Bruder and completed in 2008 as a build-to-suit for Henkel’s North American consumer goods headquarters.
The approximately 368,000 square foot property encompasses 262,000 square feet of office space, 106,000 square feet of R&D space (convertible into a variety of uses including office space), a cafetorium – a combined cafeteria and auditorium space, and a three-level, 1,000-space subterranean parking garage. The property is a LEED® Certified building and was designed to feed natural light to 75 percent of employee work areas yet is outfitted with a custom fritted glass façade to reduce the intensity of sunlight. The 82-foot high central atrium is capped with an energy-efficient “breathable” membrane skylight – the first of its kind in the western U.S. – which allows textured light to penetrate into the heart of the building. A third-floor roof garden, with nearly 1.5-acres of outdoor space with breathtaking views of the McDowell Mountains and the Sonoran Desert, provides insulation for the floors below.
“The property presents itself as a rare investment for its sustainable design, unique amenities and prime location at the epicenter of the amenity-rich area of North Scottsdale,’ said Fijan. “It is truly a unique live-work-play environment, which continues to entice the millennial workforce.”
The building is currently owned and occupied by Henkel, a company that gained its presence in the Valley with its 2004 acquisition of The Dial Corporation, previously one of Arizona’s largest corporations. Originally headquartered in Chicago, Dial Corp. relocated to Phoenix in 1971 under the name Armour-Dial after the brand was purchased by Canadian bus company Greyhound. The company departed from Greyhound in 1987 and became known as The Dial Corporation in 1991. After 25 years in central Phoenix, Dial Corp. moved its headquarters to Scottsdale. The company was purchased by Henkel in 2004 before moving to its current location at North Scottsdale Road and Loop 101. Last year, Henkel acquired The Sun Products Corporation and plans to relocate its consumer products headquarters to Stamford, CT, bringing it closer to its North American headquarters in Rocky Hill, Conn.
“Dial is a historic brand with long-standing roots in the Valley, and its tremendous impact on greater Phoenix will not be forgotten,” said Fijan. “We are looking forward to finding a suitable buyer for this iconic property that will forever carry a piece of history along with it.”
The Scottsdale Airpark submarket offers several upscale shopping destinations, such as Scottsdale 101, inclusive of 50 retailers and restaurants; Kierland Commons, a 38-acre mixed-use development with 70 retailers and restaurants; and Scottsdale Quarter and Scottsdale Promenade, both of which combine retailers, dining & entertainment options, and office space. The area features several of the country’s most prestigious resorts, including the Four Seasons Resort Scottsdale, Fairmont Scottsdale Princess Resort and The Westin Kierland Resort & Spa, in addition to numerous upscale, master-planned communities, including DC Ranch, Silverleaf, Grayhawk and others.
The property benefits from major visibility along Loop 101 and high accessibility to all submarkets of the Valley via the five Loop 101 interchanges in the submarket. Additionally, it is located less than three miles from Scottsdale Municipal Airport and 25 miles from Sky Harbor International Airport. Arizona State University, the largest nonprofit public university in the country with 50,000 students on its Tempe campus, is located about 20 minutes south of the property.