Author: BEX Staff

By Sebastian Obando for National Real Estate Investor  Commercial real estate investors are showing increasing interest in biolab facilities as healthcare research and development has accelerated due to the pandemic.  “[There is] an increased demand for laboratory space which, when coupled with low vacancy rates in most life science cluster markets, drives rental rates higher,” says Russell Brenner, president of the medical office and life sciences division with CA Ventures. “Very few sectors can demonstrate the same level of rent growth, especially in the COVID-19 environment. Similar to medical office, life sciences are viewed as a defensive asset class.”  Data firm the CoStar Group is receiving more inquiries about lab properties in…

Source: Colliers International  The Greater Phoenix retail market posted positive net absorption in third quarter, despite the continued impact of the COVID-19 pandemic. Vacancy rose slightly during the quarter to 7.7 percent as the city was recognized for comparatively low unemployment and small business closures.  During third quarter, Greater Phoenix posted a 1.7 percent increase in unemployment, finishing September at 5.9 percent. This marks a steep decline from an April unemployment rate of 12.5 percent. August employment in the Retail Super Sector dropped just 0.26 percent below the level of August 2019 Retail Super Sector employment. Many retail establishments are small businesses.   An Opportunity Insights report shows the number of…

Giving Back  1. CHASSE Building Team partnered with the Tempe Elementary School District in October to assemble and launch “Little Free Libraries” at four local elementary schools: Laird, Thew, Nevitt and Scales. The general contractor both assembled the four 4-foot structures at the schools as a team, as well as donated books to each Little Free Library to get the sharing started.  Awards & Accolades  2. WESTMARC’s 28th Annual Best of the West Awards Dinner on October 22nd honored the West Valley’s best leaders, investments and programs. The winners are:  Economic Engine: Desert Microsoft  Excellence in Innovation: Ottawa University  Quality of Life Enhancement in the Community: Verizon Wireless  Quality of Life Enhancement in Education: Abrazo Healthcare Residency…

Sales Transactions  1. TA Realty acquired Alta North Central, a 229-unit four-story apartment complex at 777 E. Stella Lane, Phoenix, for $75M. The seller was an entity tracing back to Wood Partners.  2. Kennedy Wilson Multifamily acquired Apache Station Apartments, a 400-unit gated apartment complex at 2323 E. Apache Boulevard, Tempe, for $69.75M. The seller was Green Leaf Partners. CBRE Capital Markets delivered $38.9M in new debt for the acquisition.  3. A discretionary fund managed by CBRE Global Investors has purchased a 368.5KSF multi-tenant warehouse at 4450 N. 45th Avenue, Phoenix, for $41.1M. JLL’s Tony Lydon and John Lydon assisted in the sale.  4. Two LLCs affiliated with the McMillin Companies purchased Nine90, a 72-unit…

By Rebekah Morris for AZBEX  Sales tax data available on AZEconomy.org, published by the University of Arizona Economic and Business Research Center, shows a surprising trend: construction in Arizona has risen despite the broad economic downturn as a result of the COVID-19 health epidemic. At the BEX Annual Construction Forecast event in January 2020, BEX researchers presented data that projected strong growth across the industry. Once COVID-19 hit in full force in mid-March, it appeared those projections were going to fall far short. Now, seven months into the pandemic, it is apparent that construction is mostly spared from severe downturns.  Monthly Volume Speaks, Well, Volumes!  Every month in 2020, Arizona construction volume has experienced a year-over-year (Y-o-Y) growth of more than 10 percent. The…

Budget, Policy & Stimulus News  Glendale Introduces Landlord, Tenant Relief  The Glendale City Council approved a program designed to help tenants and property owners apply for assistance if they’ve been affected by the coronavirus pandemic. The Property Owner Preservation program is designed to allow landlords to apply for federally funded assistance on behalf of their residential tenants if they are struggling to make rent because of the pandemic. (Source: KTAR)  Economic News  Apartments in Lower-Cost Areas Set to Thrive  With remote working increasing and oversupply a concern in urban markets, trends seem to favor suburban apartments in the future. (Source: GlobeSt.com)  Hotels to See Uneven Recovery  At the…

By Tasha Anderson for AZBEX  Deer Valley Unified School District is looking for help to develop a new Elementary School on approximately 14 acres located at the intersection of Inspiration Mountain Parkway and Pinnacle Vista Drive in Phoenix.  The school district recently published a Request for Qualifications for Construction Manager at Risk (CM@R) and construction services for the $20.3M school, called Elementary School No. 32.  “The purpose of the Request for Qualifications is to obtain qualification proposals for pre-construction and construction services necessary for design assistance and construction of Elementary School No. 32,” the RFQ states. “The CM will be required to work with District…

By Brian P. D. Hannon for Associated Press  Sunbathers understand the benefits of applying sunscreen, but in America’s hottest big city the same concept is being tested at street level in the hope of bringing some lasting relief from the relentless Arizona sun.  A team from Arizona State University is working with the City of Phoenix on a pilot program studying the use of “cool pavement” to reduce heat island effect, a phenomenon that raises temperatures in urban areas covered by asphalt and concrete.  Heather Murphy, a Street Transportation Department spokesperson, said Phoenix is applying cool pavement coating to nine sites representing different urban characteristics, from…

Groundbreakings  1. Developer Joe L. Cook, My Home Group (MHG) Commercial, Construction Solutions Company (CSC) and the City of Maricopa are holding a groundbreaking ceremony for the 30+ acre Estrella Gin Business Park on October 23rd at 9am, at 45654 W. Edison Rd. The Estrella Gin Business Park is an Arizona Commerce Authority Certified Gold Site, making it truly shovel-ready.  2. Lifestyle Homes was recently selected by The Empire Group as the general contractor for two new single-family-rental communities. The construction cost for the The Village at Olive Marketplace, which is currently under construction, is approximately $30M and The Village at Pioneer Park, which is expected to break ground this month, is estimated at $50M. The Village at Olive Marketplace is located in Glendale and will…

By Tasha Anderson for AZBEX  Porter Kyle, a Scottsdale-based developer well known for creating high-end residential communities, is planning a new townhome community across from the popular Park West mixed-use development in Peoria.  The project, known as The Prescott at Park West, will sit on a vacant 5.4-acre property at 8128 North 99th Avenue. The site is currently zoned C-2 Intermediate Commercial. Porter Kyle is requesting to rezone the site to Planned Area Development in order to develop the new 95-unit, luxury residential community.  The two-story buildings at The Prescott at Park West will house a mix of 30 one-, 41 two- and…