Apr 07, 2016
Dees Stribling, Bisnow, National
BKM Capital Partners is betting on Phoenix—namely, the prospects for the industrial market. The company recently acquired the Rose Garden Business Park, Metro Industrial Center, and 4100 Broadway in Phoenix, as well as the Arizona Corporate Center in Chandler (pictured below), a total of 442k SF for more than $34M. The combined occupancy of the four assets is 69%, providing a strong opportunity for value creation, according to BKM Capital Partners director of acquisitions Brett Turner, who sourced this deal and previous ones.
The growing population of residents and employers points to an opportunity for active value creation over the next two to three years, explains BKM Capital Partners CEO Brian Malliet. “We were able to acquire the assets well below replacement costs and below historical peak pricing.” BKM bought the four assets in an off-market portfolio deal from a private LA-based owner.