Southwest Value Partners Buys 109.69 Acres in Chandler's Price Corridor

Vizzda -- 2/25/2014 -- Justin Merritt for San Diego-based Southwest Value Partners (SWVP) has purchased a 463,658 square foot industrial engineering facility along with 81.07 acres of land in the Continuum business and technology campus in Chandler, once owned and occupied by Motorola. The property sold for $51.750m and there was $41m in new debt issued to SWVP by US Bank. The purchase by SWVP assembles 114.80 acres of land ready for development in Chandler's Price Corridor.

Southwest Value Partners purchased all of the Continuum project, except for the Cyrus One data center on lot 3, assembling143.42 acres of contiguous land in Chandler.

The industrial engineering facility on the site totals 463,658 square feet, or 403,300 rentable square feet, was built in 1985 on a 28.63 acre lot. Current tenants for this building include Ontrac, Nationstar Mortgage, and Express Messenger Service. Ontrac having just built a 55k square foot call center that completed November 22^nd, 2013. The remaining 81.07 acres are broken up between five lots, ranging from 3.82 to 30.21 acres

The Continuum business campus is a mile and a half south of the Loops-101 & 202 freeway interchange in the Chandler Price Corridor. The industrial engineering facility is located at 2501 S Price Rd. The campus has a nitrogen pipeline and dedicated SRP substation that is capable of providing 14 megawatts of electric power.

Capital Commercial Investments previously acquired the land for Continuum (150.39 gross acres) from Motorola on July 27^th, 2009 for $18.5m or $123,011 per acre. The Continuum project was platted on August 25^th, 2011. Capital Commercial Investments sold lot three (northeast 39.89 acres) to Cyrus One on September 6^th, 2011 for $12,198,955 or $39.89 per acre. Cyrus One built a 919,166 square foot data center on the site in 2012. In the subject sale,  Capital Commercial Investments sold the property to SWVP pursuant to a sale agreement dated December 11^th, 2013.

By:

Daniel Alpers

Director of Civil & Municipal Projects

Vizzda.com

Southwest Value Partners and Elliott Pollack Sell North Scottsdale Lots for $6.1m

VIZZDA—January 14^th, 2013 — In an all cash transaction, Taylor Morrison has acquired roughly eighteen acres of raw land at the northeast corner of Scottsdale Road and Westland Drive for $6.1m or nearly $370k per acre. The site is planned for forty single-family lots with standard dimensions of 60’ by 100’ for a minimum lot area of 6000 ft² and a project density of 2.2 density units per acre. The property was platted as “Villas at the Boulders”, a 38-lot subdivision on 16.4925 acres, in March of 2008, though the original developer was forced to sell the property prior to beginning construction.

Said original developer acquired the un-entitled land on July 18^th, 2005 for $7.92m—or roughly $11 per square foot—in an all cash transaction. In December of 2008, the parcel was included in the Klondike Land Portfolio, a twelve-property assemblage comprised of five undeveloped parcels, four fully finished parcels and three partially improved parcels slated for a total of 3,439 single family residences. The cash purchase price of $21,019,336 represents a per planned lot price of just $6,112. Using per planned lot prices as a basis for comparing the two transactions, Southwest Value Partners and Elliott Pollack realized annualized appreciation of roughly 470%. This measure is not an apples-to-apples comparision, however, due to the distressed nature of the prior sale, the (albeit slight) change in the planned units and the much larger and diversified product mix in the prior sale.

By:

Paul Dionne

Director of Analytics

Vizzda.com