Signature Office Suites INVESTMENT OPPORTUNITY
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$6 INVESTMENT OPPORTUNITY Purchase Price $7,300,000 FOR SALE | 8585 East Hartford Drive, Scottsdale 85260 Colliers International Signature Office Suites 8360 E. Raintree Dr. | Ste 130 Scottsdale, AZ 85260 P: +1 480 596 9000 Contact us: Jim Keeley, SIOR Greg Hopley Dillon Hopley Founding Partner | Scottsdale Executive Vice President Associate +1 480 655 3300 +1 480 655 3333 +1 480 655 3301 [email protected] [email protected] [email protected] Accelerating success. $6 Signature Office Suites 8585 E. Hartford Drive, Scottsdale 85260 Table of Contents > EXECUTIVE SUMMARY Location ..................................................................................................................................... 2 Improvements & Environment ................................................................................................. 2 Investment Highlights ............................................................................................................... 2 > PROPERTY OVERVIEW The Property ............................................................................................................................. 3 Construction .............................................................................................................................. 3 Tenant Finishes ......................................................................................................................... 3 Technology ................................................................................................................................ 3 Parking ...................................................................................................................................... 3 Vehicular Access ....................................................................................................................... 3 Freeway Access ........................................................................................................................ 3 The Building, The Area and The Region .................................................................................. 4 Plat Map ..................................................................................................................................... 5 Building Outline ......................................................................................................................... 6 Floor Plans ................................................................................................................................ 7 > FINANCIAL OVERVIEW Financial Overview ................................................................................................................... 8 Capital Improvements Made ..................................................................................................... 8 Income & Expense Summary ................................................................................................... 9 > TENANT OVERVIEW Partial List of Tenants ............................................................................................................. 10 > AREA OVERVIEW Neighbors and Amenities ......................................................................................................... 11 City of Scottsdale Overview ..................................................................................................... 12 Scottsdale Demographics ......................................................................................................... 13 Phoenix Economic Outlook ....................................................................................................... 14 2030 Report, December 2019 ................................................................................................ 15 SIGNATURE OFFICE SUITES FOR SALE | 8585 East Hartford Drive, Scottsdale AZ 85260 Executive Summary LOCATION Located in the heart of the booming Greater Scottsdale Airpark at the Perimeter Center, this Class “A” one-of-a-kind office building has been a staple in the Perimeter Center for over two decades. Fronting Bell Road and west of Loop 101, this resort-esque complex boasts solid tenants and consistent, competitive rent-flow. Signature Office Suites are five short minutes to the Scottsdale Airport and 25 minutes to Sky Harbor. OFFICE IMPROVEMENTS & ENVIRONMENT Signature Office Suites offers Class A office space accommodating many occupants. Offices have beautiful views with fully insulated, oversized glass windows with wood blinds and 11’ ceilings featuring LED can lighting. Breakrooms feature granite topped entertainment bar and hardwood cabinets with sink and refrigerator, and private bathrooms feature ceramic tile and wallcoverings. Spectacular desert and mountain views through full height glass, along with a desert oasis courtyard featuring “weeping” water features, and sandstone benches with night lighting, making the outdoors and indoors equally enjoyable. INVESTMENT HIGHLIGHTS, CLASS “A” FEATURES • Individual signage • Elevator serving second level suites • Soundproofing between suites • Courtyard directory • High speed internet & data via Century Link and Cox • Latest communications technology • Etched glass transom panels • Luxury grade hardware • Drywall ceilings with hardwood moldings • Individual suite temperature controls • Private front doors, no hallways • Soundproof, solid core hardwood doors • Granite counters with hardwood cabinets • Mini-refrigerator and sink • Professional tenants, many long term • 28 Luxury suites • Water features throughout courtyard • Eight foot wooden front doors • Wooden baseboards and crown moldings • Private balcony and patio on 2nd floor suites • Covered parking available 2 SIGNATURE OFFICE SUITES FOR SALE | 8585 East Hartford Drive, Scottsdale AZ 85260 Property Overview THE PROPERTY Signature Office Suites is located along Hartford Drive within Perimeter Cen- ter Business Park. The complex was constructed in 2000 and contains a total of ±27,474 rentable square feet of space (per CoStar). The design and con- struction of the building is state of the art and was recognized in 2001 with the prestigious Gold Nuggest Award and the Orchid Award for design. GENERAL CONSTRUCTION The building is designed with the use of masonry block exterior walls with EIFS over metal studs and concrete floor slab over metal deck. The project utilizes 1” insulated reflective vision glass in clear anodized aluminum frames. The roof system consists of 1” thick foam insulation with EPDM membrane covering. TENANT FINISHES Signature Office Suites is designed to operate with no tenant improvement costs beyond paint and occasional carpet replacement. PARKING Parking for Signature Office Suites is provided by 114 surfance parking spac- es, 46 of which are covered and 4 are handicapped. This represents approxi- mately 4 per 1,000 parking ratio. VEHICULAR ACCESS Signature Office Suites enjoys two points of vehicular access along Hartford Drive - one to the west of the building, and one to the east of the building. FREEWAY ACCESS Signature Office Suites is located approximately two blocks west of the Loop 101 Freeway. This proximity to the freeway allows companies to access the employee pool from all parts of the Phoenix Metropolitan area. 3 SIGNATURE OFFICE SUITES FOR SALE | 8585 East Hartford Drive, Scottsdale AZ 85260 PLAT MAP The Signature Office Suites building is located on ±2.13 acres of land with two ingress/egress driveways on Hartford Drive. Bell Road 4 CAVE CREEK CAREFREE CAREFREE HWY Y SIGNATUREW OFFICE SUITES SCOTTSDALE K FORP SALE | 8585 East Hartford Drive, Scottsdale AZ 85260 T D N R RD SA K E LE A E RD E R HAPPY VALLEY RD DA L C P E TS E PIMA K Location Map AV OT A C L SC SURPRISE BELL RD BELL RD E SUN E AV AV RD FOUNTAIN LN RD 7TH ST 51ST CITY 67TH ON IELD HILLS TT HF PEORIA AVE SHEA BLVD REEMS PEORIA CO TC LI NORTHERN AVE PARADISE E Y H HW AV VALLEY BUS GLENDALE CAMELBACK RD CAMELBACK RD CENTRAL BUCKEYE P H O E N I X MCKELLIPS RD VAN BUREN ST BUCKEYE RD MESA E E MAIN ST E AV AV AV 7TH ST TEMPE 51ST 7TH 67TH BASELINE RD GOODYEAR BASELINE RD RD RAL GILBERT RU H RD R RD R CHANDLER RT POWE QUEEN CREEK RD ELLSWO QUEEN CREEK RIGGS RD 5 SIGNATURE OFFICE SUITES FOR SALE | 8585 East Hartford Drive, Scottsdale AZ 85260 BUILDING OUTLINE Bell Road Frontage 6 SIGNATURE OFFICE SUITES FOR SALE | 8585 East Hartford Drive, Scottsdale AZ 85260 FLOOR PLAN - FIRST FLOOR FLOOR PLAN - SECOND FLOOR COURTYARD 7 SIGNATURE OFFICE SUITES FOR SALE | 8585 East Hartford Drive, Scottsdale AZ 85260 Financial Overview Note: Ownership was advised to change the property management and leasing team in 2016. Camidor Property Services, with a stellar reputation, was hired in 2017; the results over the previous thirty six months clearly exhibits the positive outcome of that decision. Camidor Property Services - Occupancy History As of Date: SF Occupied Occupancy Monthly Rent Parking Rent Percentage Growth Growth 01/01/2017 21,044 71% $42,830 07/01/2017 25,456 85% $51,654 01/01/2018 28,014 94% $52,258 07/01/2018 28,238 95% $54,649 01/01/2019 29,128 98% $60,264 07/01/2019 29,796 100% $60,760 03/1/2020 28,240 96% $61,277 $545 Monthly rental growth increased as occupancy increased, as well as the increase in rate per square foot. As leases for current tenants are renewed, the rental rates will be increased, which will increase rental growth for the office building. Hence, the 2020 Budget reflects this upside growth, increasing from $61,277 per month to $66,000 per month by year-end 2020. Moreover,