PRESS RELEASEFOR IMMEDIATE RELEASE
Company Website: www.ABImultifamily.com
ABI Multifamily Brokers $6.13M of Prime Infill Investments in Arcadia and 7th Street Corridors
Phoenix, AZ – December 20, 2016 – ABI Multifamily, the Western US's leading multifamily brokerage and advisory services firm, is pleased to announce the $6,130,000 sale of the 5727 Office Building ($5.5M) and 5-unit apartment community ($630,000) as part of a 1031 Exchange in Phoenix, AZ.
5727 Building | 5727 North 7th Street, Phoenix, AZ 85014 | 4-Story Office Building | Built in 1984 | $5,500,000 | $114.86 Per SF
"We had previously represented the Buyer of both properties, when he sold the 18 at Biltmore Apartments earlier this year," states John Klocek, Vice President with ABI Multifamily. "That property, which sold to a San Diego-based developer who is redeveloping the site into for sale townhomes, yielded our client a tremendous return which he wanted to redeploy into other asset classes."
With frontage on 7th Street, the 5727 Building is a 4-story, Class B office building constructed in 1984 and substantially renovated in 2014/15. The property is located in North Central Phoenix Submarket's famed 7th Street Redevelopment Corridor. Over the last several years the corridor, and surrounding environs, have witnessed over $50M in private development and redevelopment activity which includes the addition of new restaurants, renovated apartment units and new single family home construction.
"The 5727 building presented an opportunity to purchase a great commercial building in the heart of the 7th Street Corridor which has been one of the hottest areas for new commercial projects over the last few years. Our client is an entrepreneurial investor who has historically done deals in the Biltmore area and Scottsdale, but saw the 7th Street Corridor as an area of great opportunity and growth that will rival those other areas in demand and popularity in the very near future," states Patrick Burch, Vice President with ABI Multifamily who also represented the Buyer. "In addition, there are not a lot of decent office spaces in the area with walkability to such places as The Yard as well as the many restaurants that have recently opened. The 2+ acres of land also presents a valuable redevelopment opportunity, down the road, in a part of town where the opportunity for larger land sites are relatively non-existent."
The second asset purchased was a 5-unit apartment community, located in Phoenix's Arcadia District and "is walking distance to such hot spots as LGO, Postino, and the Madison, as well as, the Indian School Road Corridor that is currently seeing massive revitalization," states John Klocek. "The mid-century architecture and big open space was very attractive to our client and offers the potential for redevelopment."
The Seller of the 5727 Building is a private investment and redevelopment group based in Arizona. The Seller of the 5-unit apartment community was a private investor based in Arizona.
The Buyer is a private investor based in California.
The Phoenix based ABI Multifamily brokerage team of John Klocek, Patrick Burch, Ryan Smith, Royce Munroe and Nathan Bruer represented the Buyer in this transaction.
ABI Multifamily is a brokerage and advisory services firm that focuses exclusively on apartment investment transactions. The experienced advisors at ABI Multifamily have completed billions of dollars in sales and thousands of individual multifamily transactions. ABI Multifamily incorporates a global approach with regional real estate expertise to successfully complete any multifamily transaction, regardless of size and complexity.