BKM Adds Light Industrial Portfolio to Phoenix-Area Holdings
All three industrial properties feature a host of value-add opportunities.
Phoenix– The BKM Industrial Value Fund I continues to grow its Phoenix-area portfolio following the acquisition of a number of light industrial properties. Acquired for $24.1 million in an off-market transaction, the RREEF Tempe portfolio consists of three properties totaling 305,524 square feet of space. The transaction was arranged by a Cushman & Wakefield team on behalf of the seller, an institutional investor working with the CIM Group, and Deutsche/RREEF.
The portfolio consists of the following assets: Twin Business Park at 1430-1454 and 1602-1638 West 12th Place, Ash Business Center at 4666-5010 South Ash Ave., and Elliot Park 10 at 1819-1849 West Drake Drive, all within the Tempe submarket. The three assets bring the fund’s Phoenix-area holdings to more than 1.3 million square feet and roughly $155.1 million in assets under management.
Twin Business Park offers 120,496 square feet of industrial space in the proximity of Sky Harbor Airport, and offers easy access to downtown Phoenix, as well as main transit lines such as the I-10, I-143, I-101, I-60 and I-202. The two-building complex was built in 1979, and was last renovated five years ago. The asset offers tenants dock-high loading at every unit which is considered to be an immediate advantage for the upcoming leasing process.
Ash Business Center is located in the proximity of downtown Tempe and offers 89,728 square feet of space. The nine light industrial buildings offer tenants access to the I-60 and Baseline Road, as well as 16’-18’ clear heights, 16 grade-level doors, as well as 2.7 per 1000 square feet parking. Elliot Park 10 consists of five industrial buildings totaling 95,300 square feet of space. Operating at 20 percent vacancy, the property is projected to rise in terms of rental rates, as well as occupancy. The property’s main tenant is Elite Delivery.