"Advanced Foam needed closer to 15,000 sf and this building offered the size they needed and room for future growth," says Ken McQueen, a vice president with Trammell Crow Co.'s Phoenix office. "And, they get the lease income from Alpha Systems in the meantime."
McQueen tells GlobeSt.com that Advanced Foam, which manufactures packaging materials, purchased the building at 1773 W. First St. as part of a reverse 1031 Exchange. Its 10,300-sf existing headquarters and production site is located at 4629 S. 33rd St.
According to McQueen, Alpha Systems, a building and roofing materials distributor, didn't need so much space. "They were going to sell the building and relocate," he says. "Instead, they were able to downsize. It's a perfect fit for both (parties)."
Built in 2001, the West First Street building achieved one of the highest prices per sf at nearly $80 per sf, says McQueen, who teamed with TCC's Andy Ogan on the transaction. "There's just not a lot of availability for these types of buildings," McQueen says. Advanced Foam obtained a loan from Wells Fargo Bank to buy the property.
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.
