CBRE announced the $27 million sale of a 145,872-square-foot last-mile distribution center in Tempe, Ariz., to Realterm, a Maryland-based logistics real estate firm. The property is 100 percent occupied by FedEx.
Geoffrey Turbow, Gary Cornish, Matt Pourcho, Anthony DeLorenzo, Gary Stache, Bryan Johnson, and Bill Bayless with CBRE represented the seller, a local real estate investment firm.
The single-story building, located at 1666 N. McClintock Drive, was constructed in 2004 as a build-to-suit for FedEx, which recently signed a triple-net lease extension. It features 24-foot clear heights, 11 grade-level overhead doors and 36 dock-high doors. It is accessible by a three-lane driveway along McClintock Drive. The property is located a few minutes from downtown Tempe and Arizona State University, as well as near 1.3 million square feet of retail at Tempe Marketplace and 2 million square feet of retail at Fashion Square Mall in Old Town Scottsdale.
“Aggressive interest in the Phoenix market resulted in the second-highest price per square foot in Phoenix Metro’s history for industrial buildings built before 2015 and larger than 100,000 square feet,” said Turbow. “Such pricing reflects investors’ bullish attitude for growth markets like Phoenix where demand for industrial remains unabated.”
He added, “National tenant net-lease assets with strong property-level fundamentals continue to perform well and have proven to be resilient during times of macro-economic uncertainty.”
A recent survey of commercial real estate investors ranked Phoenix as a top-10 target among Americas metros. The Sun Belt market jumped five spots to No. 4 in CBRE’s 2021 Americas Investor Intentions Survey.