BKM Capital Partners Acquires $81.5 Million Light Industrial Portfolio in Metro Phoenix

Three-Property Portfolio Totals 413,000 Square Feet Across Prime Phoenix and Tempe Submarkets

Newport Beach, CA – November 5, 2025 – BKM Capital Partners, a vertically integrated institutional fund manager specializing in multi-tenant light industrial real estate, has acquired a three-property light industrial portfolio totaling 413,000 square feet in Metro Phoenix for $81.5 million. The acquisition expands BKM’s footprint in one of the fastest-growing industrial markets in the nation and reinforces its commitment to scaling its platform across high-growth metros.

“Phoenix continues to demonstrate exceptional fundamentals for small-bay and multi-tenant industrial,” said Brian Malliet, BKM’s Founder, CEO and CIO. “The region’s diversified economy, robust population growth, and connectivity to major logistics corridors make it an ideal market for our value-add strategy. These assets align perfectly with our operational model—well-located, highly functional business parks with immediate upside through hands-on management and modernization.”

The portfolio consists of three well-located assets in Phoenix and Tempe, each featuring flexible suite configurations, institutional-grade construction, and proximity to major freeways and employment centers. Combined, the properties are 95% leased, catering to a broad mix of tenants across industries including logistics, light manufacturing, professional services, and trade contractors.

Black Canyon Business Park | 2331 W Royal Palm Rd, Phoenix, AZ

A 172,000-square-foot, 11-building industrial and office park located near the I-17 freeway, Black Canyon Business Park offers a diverse mix of suite sizes and buildouts, extensive recent exterior improvements, and both covered and uncovered parking with a 5:1,000 ratio. The property features upgraded landscaping, new ownership branding, and an on-site management and leasing office—positioning it as a best-in-class small-bay destination in North Phoenix.

Metro Industrial Center | 10801 N. 24th Ave & 2323–2329 Mescal St, Phoenix, AZ

Comprising five buildings totaling 120,000 square feet, Metro Industrial Center is 91% leased and offers suites ranging from 1,630 to 7,650 square feet. With 16’ clear heights, flexible office buildouts, and a 2.63:1,000 parking ratio, the property provides direct access to the I-17 and sits in close proximity to Metrocenter Mall and surrounding amenities.

Twins Business Park | 1430–1454 W 12th Pl, Tempe, AZ

Located just minutes from Sky Harbor International Airport, I-10, and Loop 202, Twins Business Park totals 121,000 square feet across two highly functional buildings. The property features 16’ clear heights, grade-level doors, truck wells, and ample power with superior truck court maneuverability. Its infill Tempe location provides unparalleled connectivity and strong long-term tenant demand.

“This acquisition demonstrates our continued conviction in Phoenix’s long-term industrial growth story,” said Brett Turner, Senior Managing Director of Acquisitions & Dispositions at BKM. “Despite rising construction and capital costs, there remains an acute shortage of high-quality, flexible spaces under 20,000 square feet. These properties allow us to deliver that product at scale.”

The acquisitions were completed through a joint venture with Terracore Capital.

With this acquisition, BKM now owns and operates more than 3.7 million square feet across Arizona, solidifying its position as one of the region’s leading small-bay industrial owner-operators.