"Banner bought this because they've been trying to assemble land to build a new medical building. The hospital is right there and Banner owns other buildings around there," explains Gordon Raguse, senior vice president with Grubb & Ellis/BRE Commercial LLC's Phoenix office. Raguse represented seller 9th Street Tropical Building LLC, which is one of the practitioners in the medical office building at 1515 N. 9th St. The building is less than a block down the street from the Banner Good Samaritan Medical Center at 1111 E. McDowell Rd.
Raguse tells GlobeSt.com the off-market deal came about when Banner approached the building owner with a proposal that included a five-year lease-back and termination rights after three years. Banner was represented in the transaction by Steve Corney with Jones Lang LaSalle's Phoenix office.
"The doctor didn't have to worry about moving his practice right now, and Banner has the property for when it's ready to build," says Raguse, who adds that other tenants in the building also have leases expiring in the next three to five years. "It's a win-win for both parties."
In other real estate news, ThyssenKrupp Elevator Co. leased 16,481 square feet at the 109,684-square-foot Cabot Business Center. The company will take possession of the space at 3902 E. University Dr. in February 2009. The company will use the space for its sales office and administrative operations as well as for industrial purposes.
Pat Harlan, Steve Sayre and Katy Boyd of Cushman & Wakefield of Arizona, Inc. represented ThyssenKrupp in the lease negotiations. Aric Adams and Mike Goldwater, also with Cushman & Wakefield, represented property owner Rreef Funds in San Francisco.
Continue Reading for Free
Register and gain access to:
- 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
© 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.
