Investors Driving Record Deals in Phoenix
Investors are betting big in Phoenix, and for good reasons, CBRE’s Jim Fijan tells us.
Jim, along with colleague Will Mast, repped the seller of the Biltmore Financial Center, which ViaWest Group recently acquired for $163M, or $257/SF, the largest multi-tenant office deal in Phoenix since before the recession. He calls the sale a "good barometer" for the overall market. The property attracted more than 150 confidentiality agreements, which is "an indication that Phoenix is back as a favorite for all types of capital looking to invest in real estate,” Jim says.
Jim also points out that Phoenix is seeing near pre-recession sale prices for office assets, adding that "the office market still has quite a bit of runway, and investors will see significant revenue growth.” Invesco Real Estate sold the 635k SF Biltmore Financial Center, with the buyer repping itself in the deal. Major tenants include Fennemore Craig, Colliers International and Northern Trust, and its buildings are Energy Star rated and LEED certified.