 |
| Promenade Corporate Center, 16427 and 16435 North Scottsdale Road, Scottsdale, AZ |
 |
| Alisa Timm |
PHOENIX, AZ – Office investment and management expert
Lincoln Property Company (LPC) and partner Goldman Sachs have purchased Promenade Corporate Center in
Scottsdale, Arizona, with plans to re-establish the property through a
strategic renovation plan with up to $1 million in improvements.
The 256,175-square-foot Promenade Corporate Center totals
two, four-story buildings at 16427 and 16435 N. Scottsdale Rd. It sits within
the prestigious North Scottsdale/Kierland submarket and at the center of the
Scottsdale Promenade, a 730,000-square-foot, mixed-use retail project.
In all, the office
and retail portions of the project total approximately 1 million square feet on
84 acres.
DTZ’s Rick Reeder
and Brad Tecca, from the San Diego
office, and Jeff Wentworth and Sean Spellman, from the Phoenix office,
represented the Promenade Corporate Center seller, Excel Trust Inc. (NYSE:EXL),
a retail-focused real estate investment trust. Excel remains the owner of the
surrounding Scottsdale Promenade retail project.
 |
| Amr Ceran |
Promenade Corporate Center is currently 80 percent occupied
by tenants ranging from Fitch, Inc. and Healthcare Trust of America to Meridian
Bank and Regus Corporation.
They enjoy surrounding Scottsdale Promenade retail
and restaurant tenants including Nordstrom Rack, Lowe’s, Trader Joe’s, PetSmart,
Jos A. Bank, Pier 1 Imports and Ulta, as well as Capital Grille, Benihana,
Cantina Laredo, Habit Burger Grill and In-N-Out.
“This is a fantastic addition for our team, with room to
fill out the project’s vacant office space and maximize its potential as the
area’s largest and best office option,” said Lincoln Property Company’s
Executive Vice President David Krumwiede,
who completed the investment purchase along with Vice President Amr Ceran.
“We are in an upswing
office market, with new, cutting-edge tenants committing to the Valley every
day. We are more than excited to expose that interest to this project.”
“Contemporary
companies want exactly what the Promenade offers – quality, quick freeway
access, walkability and exceptional shopping and dining,” said Ceran. “Those
amenities are all represented here, and sit just outside of the lobby doors.”
 |
| Rick Reeder |
In addition to a lease-up effort, LPC and Goldman will
invest up to $1 million in improvements to the 2004/2005-built Promenade
Corporate Center. Some of these improvements include lobby renovations, common
corridor painting and landscape work.
DTZ’s Wentworth and Spellman will retain the Promenade
Corporate Center marketing and office leasing assignment.
LPC Director of Management Services Alisa Timm will direct the property management strategy, adding to
the more than 7 million square feet already managed by LPC across the Desert
West Region.
“We’re thrilled at
the opportunity to serve the Promenade’s office tenants as they map out their
strategies in the new economy,” said Timm. “This is a beautiful property that
will serve them well in that effort.”
 |
| Brad Tecca |
“Occupancy in the North Scottsdale office submarket has
increased 3.3 percent in the past year, and is expected to improve even more in
the years to come,” said Wentworth.
“That says great things about this area and
its potential to please investors and support tenants with a vibrant amenity
base.”
Promenade is the latest asset to join LPC’s track record of
successful Class A office repositioning efforts.
In February, the company,
along with a fund managed by Oaktree Capital Management, L.P. (Oaktree), sold
Camelback Square to Dallas-based Velocis for $42.3 million.
LPC and Oaktree purchased the Class A, 174,917-square-foot
Camelback Square out of special servicing in June 2011.
 |
| Jeff Wentworth |
They next initiated a
major renovation and leasing plan, capitalizing on a prime location in Old Town
Scottsdale to improve the building from 50 percent occupied to more than 95
percent occupied with tenants including Mastro’s City Hall Steakhouse, ZocDoc,
Regus, Ashton Woods, Echo Global Logistics and Digital Airstrike.
For leasing information on the Promenade or to discuss
additional investment opportunities in the Desert West Region, please contact
David Krumwiede or Amr Ceran at (602) 912-8888.
For a complete copy
of the company’s news release, please contact:
Stacey Hershauer
focusAZ
Marketing & Public Relations
(480) 600-0195
