- For sale
UNDER CONTRACT: Investment opportunity to acquire Warner Crossing, consisting of two Class A single-story office buildings t 8260 and 8312 S. Hardy Drive in Tempe, Arizona. Building area consists of ±138,180 square feet, set on ±15.55 acres. Property offers an impressive 6.5 per 1,000 parking ratio.
Contact Mindy Korth to request the offering memorandum. Asking price: submit offer.
The buildings are 70 percent leased to three institutional tenants, each backed by investment-grade credit, on NNN expense lease structures and with staggered expirations.
The Property has an excellent history of full occupancy, with the one vacancy of ±42,055 square feet only recently available, which is in excellent condition and configuration that is move-in ready.
Constructed in 2000 within Warner Crossing Business Park, the offering provides investors a value-add opportunity to purchase assets with reliable and secure cash flow. With a rent roll that is currently at below-market rates and a WALT of 4.2 years, investors can accelerate rental growth in the future.
The Southeast Valley leads the region in successfully recruiting research, technology and other knowledge-worker firms through its diverse, well-educated workforce and corporate-friendly business environment. The area is home to some of the country’s largest and most prominent employers, such as Honeywell, Intel, McKesson, Charles Schwab, GM Innovation Labs, Microchip Technology, Wells Fargo Bank and Bank of America, among many others.
The existing investment-grade leases currently average 16.9 percent less than the current market rate and will be as much as 25.5 percent below market when the leases mature. Coupled with the lease-up of the vacancy, this provides the opportunity for tremendous cash flow and value appreciation.
The investment-grade credit backing these leases represent a resilient group of business sectors, including international banking, title services, on-line pharmacy services and auto insurance.