Thursday, December 17, 2015

Scottsdale shopping center sells for $8.5M



Just west of the intersection of Scottsdale Road and Shea Boulevard in Scottsdale, Shea 70 Plaza, trades hands for $8.5 million or $253/square foot.
Shea 70 Plaza is a 33,615 square foot retail center, built in 1988 and located on the southwest corner of 70th Street and Shea Boulevard.
ORION Investment Real Estate represented the Seller, an affiliate of Hedgewood Properties, based in Toronto Ontario, Canada and the buyer was an investment group out of Monterey, Calif.
Earlier this month, the same buyer purchased a shopping center in Glendale for $8.3 million, according to a press release.
Shea 70 Plaza was 92 percent leased at the time of sale with a variety of tenants serving the daily needs of the community, including Comfort Dental, VCA Animal Hospital, At Home Fitness, Sylvan Learning Center, DS Nutrition, True Rest Float Spa, Thai House, and more.
Ari Spiro, Sean Stutzman and Jared Williams at ORION Investment Real Estate negotiated the transaction, along with Greg Valladao at Cushman & Wakefield.
“This sale further illustrates the strong demand from out-of-state investors in the Phoenix market,”stated Mr. Williams in the release. “We’ve seen a significant uptick in buyer interest, especially from California, where buyers are unable to find the type of yield which is available in Arizona retail investments. ORION sold this same buyer Greenway Promenade earlier this month for $8,300,000.”

Phoenix Bus. Blog: EXCLUSIVE: Look inside the new Hilton Garden Inn Phoenix Downtown, formerly Hotel Monroe (Gallery)


After a few years of careful design and development, the historic building that once housed Valley National Bank is expected to open this Friday as the Hilton Garden Inn Phoenix Downtown.
The building was bought by Minneapolis-based hotel and real estate development company CSM Corp. in 2013 for $8 million.
The 12-story building was opened by Valley National Bank on Feb. 23, 1932, which bought the land in 1907 for $67,000.
It was listed on the National Register of Historic Places in 1993, and was featured in the opening sequence of Alfred Hitchcock's horror film "Psycho."
Though it will be opening under a new brand, the historic integrity of the building was maintained to the fullest degree.
CSM and Hilton brought on Minneapolis-based ESG Architects and LA-based Historic Consultants in order to keep the historic preservation of the building intact, or as close to the original designs as possible.
Designers and architects maintained as much of the original designs as possible, and recreated those that couldn't be preserved based off of photographs and documents.
The building was originally designed by LA-based architecture firm Morgan, Wells and Clements with the local direction of H.H. Green, who is responsible for the designs of the downtown YMCA building and the Heard Museum.
According to Roger Brevoort of Historic Consultants, the firm was very popular in Los Angeles and Hollywood, which was a big deal for Phoenix.
"At the time, that was the point of pride that a prominent firm got involved," Breevort said.
Brevoort has been involved with the historic recognition and preservation of the building since 2006.
Brevoort said the building is one of the only remaining Phoenix buildings with an Art Deco design, with the exception of Luhrs Tower, also downtown.
That style was altered slightly when Morgan, Wells and Clements added a 12th floor to the building.
Hilton representatives said two federal programs were used to help fund the hotel project: New Market Tax Credits and Historic Tax Credits.
Representatives said the project had to meet the Secretary of the Interior’s Standards for Rehabilitation, in order to utilize the tax credits.
As far as Art Deco style, the lobby is the main attraction.
Hilton representatives are calling the two-story, 24-foot-tall lobby the "hallmark of the building."
The lobby features original marble floors, Deco-era Corinthian capitals, bronze elevator doors and original wrought iron details. Some original signage is included as well, including the "Entrance" sign, which is missing an "e."
ESG also recreated the coloring and design of the columns.
The 170-room hotel will have a soft opening this Friday. General Manager Michelle Davis said that while the hotel is open to all guests, she's hopeful the opening will attract businesspeople and athletes who are coming to Phoenix.
The hotel will feature meeting rooms offering more than 2,600 square feet of flexible meeting space for up to 200 people.
Each meeting room is named after one of Phoenix's downtown streets. Davis said the team had debated between street names, names alluding to the building's history and business terminology, but ultimately decided to pay homage to Phoenix.
The roof will have terrace with a bar, outdoor Pergola and sun chairs, which will open around March, along with the 12th floor.
Each room has at least two windows, and some of the suites will feature massive floor-to-ceiling windows with expansive views of downtown Phoenix.
Davis said the basement of the building, which still houses the original bank vault, will have some sort of retailer in 2016.
The hotel also will feature Arcadia-based Nook Kitchen. Hilton representatives said it is uncommon for Hilton to feature a signature restaurant such as Nook.
The restaurant is also slated to open sometime in spring 2016.