Red Rock Business Center consists of four class B office buildings totaling 42,126 square feet, along with a 1.63 acre parcel for a fifth and final office building. Located at 17100 E. Shea Blvd. and 9624 N. Monterey Rd., the property was built in phases from 1998 to 2008.

Currently, the property is 50 percent occupied with local tenant and regional offices including Prudential Properties and Edward Jones. The asking lease rate for the buildings is $19 to $20 per square foot, full-service.

"The condition of the buildings is very good, but the property does offer a value-added opportunity in that the buildings need to be leased and stabilized," says Mike Coover, vice president with Cassidy Turley BRE Commercial's Investment group. He and Eric Wichterman, executive vice president in the same group, represented the buyer, BRM Arizona LLC, and the seller.

Coover tells GlobeSt. that BRM Arizona bought Red Rock Business Center at an in-place cap rate of nearly 9.4%. "It's a very good deal for the buyer," he adds, noting that the property would trade likely trade for $8 million to $8.5 million once it's stabilized. "The buyer bought the property for significantly less than the note."

Originally, Red Rock Business Center was listed for $6 million. It was on the market for roughly 12 months before BRM Arizona acquired it. "It's very difficult to find office buildings that make sense to purchase in our market today because they are not priced appropriately," Coover says. "This seller because more motivated as time went on."