May 26, 2022 09:00
Newmark announces that it has completed the $6.25 million sale of Plaza 59, a 32,128 square foot multi-tenant shopping center in Phoenix, Arizona. Newmark Senior Managing Directors Steve Julius and Jesse Goldsmith and Director Chase Dorsett represented Seller, Plaza 59, LLC (a Scottsdale-based private investor) in the trade with Buyer 33rd Ave & Indian School Rd Pros RE, LLC. This is the second transaction for the Newmark team working with the seller on this property.
“We helped our client purchase this off-market property in May 2020, during the height of the pandemic and government shutdowns,” Dorsett said. “While some investors stayed away during this time, our client had the vision to reposition this property and was willing to take risk during an extremely uncertain time in the retail market.”
In the two years since purchasing Plaza 59, the seller has made numerous capital improvements in addition to filling several vacant positions.
“Our team was delighted to help successfully capitalize on this value-added opportunity for the client,” said Goldsmith. “The buyer was attracted by the dense, infill location, high traffic and diversity of neighborhood-focused tenants.”
At the time of the sale, Plaza 59 was 95% leased to 20 experienced tenants, many of whom have been in place for a long time. Plaza 59 tenants enjoy a signage, a lit intersection, unobstructed visibility and more than 71,000 cars per day at the intersection. The property has a classic L-shaped building plan with ample parking.
Located just west of downtown Phoenix, Plaza 59 is conveniently located between the two major interstate highways that run through the metropolitan area. The location also offers easy access to Sky Harbor International Airport, which is a 15-minute drive southeast. The intersection of Indian School Road and 59th Avenue is also home to Grand Canyon University’s championship golf course, and within a mile of the property are several big-box retailers, including Walmart Supercenter and Ross Dress For Less; several fast food restaurants such as McDonald’s, Wendy’s and Panda Express; and Maryvale High School with a student population of 2,800.
In the United States, retail investment activity picked up significantly during the first quarter of 2022, according to Newmark Research. National retail volume rose 102.3% year-over-year to $18.6 billion, the highest first quarter in five years. In addition to early pandemic favorites such as retail anchored in grocery stores, other retail segments such as shopping malls have attracted investor demand in 2022. They will be helped by trends such as “buy online-pick up in store”.
 Dba Newmark Knight Frank in Arizona
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a global leader in commercial real estate, seamlessly powering every phase of the property lifecycle. Newmark’s comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue chip enterprises. Combining the platform’s global reach with market intelligence in established and emerging real estate markets, Newmark delivers superior service to clients across all industries. Newmark generated nearly $3.1 billion in revenue for the twelve months ending March 31, 2022. Newmark company-owned offices, along with its business partners, operate from approximately 170 offices with 6,300 professionals around the world. To learn more, visit nmrk.com or follow @newmark.
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