Palm Plaza recently sold for $2,030,000 or $80 per square foot to MDR Enterprises, Inc. The Seller, Lee Center, LLC, was represented by Justin Horwitz and Jonathan Levy of Sperry Van Ness, LLC and Paul Christ of Encom Properties, LLC. The Buyer was represented by John Oliver of Century 21 AZ Foothills. Palm Plaza is located at 141 E. Palm Lane on 3rd St. just north of McDowell Rd. in the Midtown Phoenix submarket and consists of one free standing office building totaling +25,000 SF. The Buyer acquired the roughly 85% occupied property as part of a 1031 exchange.
Horwitz said, “This sale of Palm Plaza is a prime example of a value adds investment. We are very optimistic about the activity along the Central Corridor and we expect the influx of activity in this area to get rapidly stronger.”
Both Buyer and Seller were able to achieve their goals. The Seller was able to complete its 1031 exchange into a property that had relatively good cash flow with future upside. The Seller was able to pull equity out of its investment to put towards alternative ventures.