W.P. Carey Plays Missile Command
Colliers' Tivon Moffitt and Peter Bauman, along with Neil Glassmoyer, brokered the sale of Raytheon Co's 144k SF HQ for its missile defense systems division in the Tucson International Business Center off E. Hemisphere Loop. W.P. Carey's CPA 17 Global fund paid $18.9M for the property, or $132/SF, from Seattle-based Summit Properties. Tivon says the fact that this was a single-tenant deal with a strong creditworthy company made it appealing to WP Carey. But capital is eyeing all well-leased office properties in Phoenix for buys. “You have now coming to the marketplace fully leased [towers], even on a multi-tenant basis,” he says.
This is the latest purchase for W.P. Carey in Phoenix. In April, it shelled out $43M for 2700 Frye Rd, the 188k SF office building in Chandler that's the West Coast HQ for QBE Holdings. Tivon says his pipeline is robust with assets looking to come to market, especially with fundamentals having improved. That may feed further spec office development here.