CBRE Facilitates Sale of Medical Office Campus in North Phoenix

CBRE negotiated the sale of the nine-building Paradise Valley Professional Campus at 16620 North 40th Street in Phoenix. Geoffrey Turbow, Gary Cornish, Matt Pourcho, Anthony DeLorenzo and Bryan Johnson of CBRE Investment Properties represented the seller, Cypress West Partners, in the transaction.

"The campus offers the new ownership recession-proof stability with exceptional future upside," said Mr. Turbow, senior vice president at CBRE. "The property is a stable medical office investment with tremendous upside as medical fundamentals trend upward."

The campus features nine standalone one-story medical offices, combining for a total of 56,282 sq. ft. on 5.62 acres. The buildings are connected by a shared courtyard and are surrounded by 255 parking spaces, including 68 covered spaces. The medical offices are south adjacent to Abrazo Health Scottsdale Hospital Campus.

"We're pleased with the marketing process executed by this CBRE team and the outcome delivered on our behalf," said Cypress West Partners Chris Cumella. "The transaction's success reflected our confidence in our business plan for this asset despite turbulent market conditions."

The campus features nine standalone one-story medical offices, combining for a total of 56,282 sq. ft. on 5.62 acres. The buildings are connected by a shared courtyard and are surrounded by 255 parking spaces, including 68 covered spaces. The medical offices are south adjacent to Abrazo Health Scottsdale Hospital Campus.

The Paradise Valley Professional Campus is 93% leased to a diverse mix of local, regional, and national medical office users, including SOH Dental, Arizona Kidney Disease & Hypertension Centers (AKDHC) and Action Behavior Centers. Located off State Route 51, the property allows tenants to conveniently provide medical services to much of the Phoenix metro's population.

According to research analyzed by CBRE, medical office leasing continues to perform well across the Valley, evidenced by the 11% vacancy rate and 430,000 sq. ft. of net absorption over the past 12 months in metro Phoenix.