"They had a small 1031 exchange requirement," explains Eric Wichterman, a vice president with Grubb & Ellis/BRE Commercial LLC. The seller of 9364 E. Raintree Dr. was Tempe-based Focus Real Estate Group, which held the asset through the limited liability corporation of Kempton Land Holding II.
Wichterman tells GlobeSt.com that Thompson Peak Corporate Plaza IV was acquired in an off-market transaction. The three-year-old building was the last one that Focus Real Estate owned in the entire Thompson Peak Corporate Plaza, which it developed.
According to Wichterman, the Tempe-based Hewson's core business is industrial development and acquisition, but the firm was willing to evaluate other property types to complete the 1031 exchange. "They looked at other properties that just didn't work out so this building was it," he says.
Because of the 1031 exchange requirement, the deal was done under severe time constraints. The assumption of $1.5 million of debt made the closing period even more intense, says Wichterman, who brokered the sale along with Stan Shafer of Grubb & Ellis/BRE Commercial.
During the closing period, the building achieved 100% occupancy with the signing of a five-year lease for 1,800 sf to Vertex Physical Therapy. "It ended up being a pretty good deal," he says. Michael White, Scott Isacksen and Chris Jantz with Grubb & Ellis|BRE Commercial represented Hewson.
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