SAN FRANCISCO, CA – September 1, 2022 – San Francisco-based commercial real estate investment firm Graham Street Realty (GSR), an affiliate of Hamilton Zanze, has acquired Cimmaron Industrial Park in the Scottsdale Airport Industrial submarket of the Phoenix metro. The deal closed on August 26, 2022, for a purchase price of $27.5 million. The property is currently fully leased.
GSR is purchasing the property from a partnership of two high net worth investors. As part of the transaction, GSR will retain the in-place property management company, Greater Airpark Realty Services (“GARS”). GARS will be handling day-to-day operations, construction management, and property accounting.
Cimmaron comprises 94,800 rentable square feet of industrial space across a five-building, separately parceled project totaling 6.73 acres. All five buildings were constructed in 1980 and have been well-maintained. The property provides small businesses with class-leading, functional industrial suites, with approximately 40% office and showroom space and 60% warehouse space.
Cimmaron is located in one of the most affluent, supply-constrained submarkets in the greater Phoenix MSA – the Scottsdale Airpark. The submarket comprises 7.1 million square feet and currently boasts the highest asking rents in the entire 363-million square foot Phoenix industrial market.
The Scottsdale Airpark is proximate to some of Arizona’s wealthiest communities, including Paradise Valley, Kierland, and North Scottsdale. The concentration of high-end housing in and around Scottsdale drives much of the leasing activity in the submarket and at the property. The Scottsdale Airport is one of the busiest private airports in the United States and is a driver of regional business.
“Graham Street is excited for Cimmaron Industrial Park to be our first acquisition in the state of Arizona,” said GSR’s Director of Investments Jay Snover. “The asset fits our objective of purchasing real estate in irreplaceable, supply-constrained locations. We also look forward to building our relationship with Shell Commercial, Greater Airpark Realty Services, and CBRE.”
This acquisition marks Graham Street Realty’s first acquisition in Arizona and marks the firm’s fourth industrial acquisition to date.
ABOUT GRAHAM STREET REALTY
Graham Street Realty (GSR) is a private, San Francisco-based commercial real estate investment firm founded in 2007. Since that time, GSR has purchased over $485 million in office and industrial assets. As of third quarter 2022, GSR currently owns and operates 36 properties in four states. Since its founding, the firm’s focus has been on value-add investment in the multi-tenant office and industrial building market. To learn more, visit www.grahamstreetrealty.com.