"There are a lot of people building a lot of big-box warehouses so it's taking a little longer to get than usual," Allen Lowe, an associate with Phoenix-based Lee & Associates Arizona, tells GlobeSt.com. "It's starting to get stronger now than it has been in quite some time."
Located at 430 N. 47th Ave., S&M's new home is in the 300-acre Papago Business Center. The fully leased, 170,000-sf building was constructed in the late 1980s and is home to both S&M and lessor Valwest Technologies, which takes 70,000 sf.
S&M's work with Intel was an important key behind executing, according to Lowe. Headquartered in Santa Fe Springs, CA, the company stores products for Intel's Chandler division in Phoenix and additionally operates similar warehouses for various clients around the country.
Southwest Phoenix has seen some of the highest industrial vacancies in the region for the first quarter of this year, says Lowe, with the submarket hitting just below 11%. Part of the lag is due to new construction of industrial facilities and the fact that lease-ups are not keeping pace, he says. Lowe represented both parties in the deal.
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