Newmark Knight Frank (“Newmark”) announces the sale of Copper Point, a multi-tenant 91,805-square-foot medical office building in Gilbert, Arizona for $33 million in an off-market transaction.
Newmark Managing Directors Kathleen Morgan and Trisha Talbot represented the seller, West Coast Capital Partners. The buyer, CA Ventures, was self-represented.
“It has been an amazing opportunity to lease Copper Point to 96% occupancy and obtain a strong, diverse tenant mix,” said Morgan. “Then I brought the buyer and seller together; both parties I’ve known a long time. It was a win-win for everyone involved.”
The two-story building, located at 3530 S. Val Vista Drive, is currently 96 percent occupied. The tenants comprise a broad mix of orthopedic surgery, oncology, cardiology and laboratory services. The property is situated adjacent to Dignity Health Mercy Gilbert Medical Center.
The medical office market in Gilbert is a growing area, with over 400,000 square feet of construction underway and a 16.5% higher average asking rent than the overall metro due to quality product within the submarket, according to Newmark Research. The Phoenix Metro medical office market faced little interruption in the face of the pandemic with rents increasing 3.7% and vacancy lowering by 40 basis points year-over-year. The talent pool and services available in Phoenix within the medical field are attractive to landlord, tenants and investors alike.