3233 W. Peoria Ave. Phoenix, AZ Investment Offering TYSON BREINHOLt D 480 966 7513 M 602 315 7131 tbreinholt@cpiaz.com CRAIG TRbOVIcH D 480 522 2799 M 602 549 4676 ctrbovich@cpiaz.com TYLER BODE D 480 621 3288 M 480 710 0072 tbode@cpiaz.com
Project Summary Address Offering 3233 W. Peoria Avenue Phoenix, AZ 85029 Multi-Tenant Office Building Sale Price $2,099,000 Price / SF $71.24 Current Occupancy Tax Advantage Investment Property Condition Total Square Feet Land Area 75% Occupied Royal Suites Park is located in an Opportunity Zone established by the 2017 Tax Cuts and Jobs Act. Property has undergone significant renovations. Approx. 29,462 Rentable SF Approx. 102,743 SF (±2.359 Acres) Year Built 1984 Tax Parcel Number Construction Covered Parking 149-15-135A Masonry Total Parking 3.7:1,000 41 Covered/Reserved, 68 Surface Spaces Commercial Properties Inc P. 2
Property Summary Commercial Properties, Inc. is pleased to present an exceptional multitenant, value-add office investment opportunity identified as Royal Suites Office Park. This exclusive investment provides an investor with the rare ability to acquire a 29,462 square foot, 2-story Class B office building at below replacement cost with 75% occupancy and below market rents. While a value-add opportunity for an investor, the property has already had capital upgrades benefitting a new buyer, including: Full 3 color exterior paint job New landscaping and courtyard patio New asphalt and newly painted parking spaces LED exterior lighting All recently leased suites have been upgraded to LED lighting, modern flooring, clean white ceiling grids, new doors and side lights, new white electrical lights/switches and Nest thermostats Royal Suites Office Park is also located in an Opportunity Zone established by U.S. Congress in the Tax Cuts and Jobs Act, which was signed into law December of 2017. Investors who reinvest capital gains monies in Opportunity Zone funds will receive reductions on capital gains taxes relative to the years of their investment. There is easy access to the I-17 freeway, shopping and restaurants. Royal Suites has two atriums and a central courtyard patio area. Creative architectural details provide extensive glass lines, with many offices enjoying three sides of windows. These unique features and under market rents, combined with the current economic activity in the area, make Royal Suites Office Park at the current asking price a compelling investment opportunity. Royal Suites Office Park is located near Metrocenter Mall, which has been undergoing revitalization in recent years. A new 148,000 square foot Walmart Supercenter opened in 2017 and the Phoenix City Council passed a Planned Unit Development (PUD) rezoning that allows for a mixed-use range of property types at Metrocenter. The PUD also allows for a height increase up to 180 feet (approximately 15 stories) and allows ownership to almost double its current 800,000 square feet of existing space, to a total 1.6 million square feet. The Phoenix light rail system is scheduled to be extended to Metrocenter by 2023. Commercial Properties Inc P. 3
Investment Highlights Value-add opportunity 75% Occupancy Below market rents (currently averaging at $13.20 FS) Rents are full service. Existing rents are either at or below market rent, allowing for security and growth in the future Prominent street frontage and building along Peoria Avenue Unique architecture Prominent monument signage Central courtyard patio with two atriums Lush landscaping Close proximity to Interstate 17 Convenient access to many retail amenities Commercial Properties Inc P. 4
Exterior Photos Commercial Properties Inc P. 5
Royal Suites Park Amenities Map Ç N W Thunderbird Rd N 35th Ave N 43rd Ave W Cactus Rd N 51st Ave Site W Peoria Ave Site W Dunlap Ave Commercial Properties Inc P. 6