"We were pursuing and had looked at a few lease deals, but the owner's intent was always to sell," Marc Tuite, a senior associate at Grubb & Ellis/BRE Commercial in Phoenix, tells GlobeSt.com. Phoenix-based Premier Waste Services Inc., buying as Arizona Jack Property Development Inc., took title to 1500 S. 7th St. near the downtown from Heil Environmental Industries Ltd. of Chattanooga, TN, a refuse and recycling vehicle manufacturer that used the location as a transfer station until a year ago.
Premier closed on the property in an effort to consolidate two smaller facilities in the Northwest and Southeast valleys. The company expects to complete improvements and move in by August at the latest.
A key attraction to the buyer came in the form of extra land--nearly four acres--available for potential future expansion on the 8.5-acre site. The 135,000-sf building was constructed in the early 1980s.
"We have 8.5 acres. The building alone sits on half of that. When you have an excess of land where you can expand, it just makes it attractive. There aren't a lot of facilities that have that excess of land," Tuite says.
Brokers marketed the property as lease product for a year before entering purchase negotiations with Premier, says Tuite. Escrow lasted about 60 days. When Heil closed shop, it moved some 20 cranes, spray booths and other heavy equipment to an Alabama facility, he says.
Tuite, Tony Lydon, Mike Haenel and Andy Markham, all with Grubb & Ellis/BRE Commercial negotiated for the seller while the buy side was represented by Mitch Chilton, Michael White, Scott Isacksen and Chris Jantz, also with Grubb & Ellis/BRE Commercial.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
