Tucson Industrial Campus Commands $119M

May 14, 2024

The property changed hands in two separate deals.

The campus at 3610 East Valencia Road in Tucson, Ariz. — Tucson Commerce Center features three Class A buildings. Image courtesy of Cushman & Wakefield

Flint Development has sold Tucson Commerce Center, an 806,606-square-foot, three-building industrial campus in Tucson, Ariz., to two buyers for $118.7 million.

Bridge Investment Group, through its Opportunity Zone strategy, acquired Buildings 2 and 3, totaling a combined 504,163 square feet, for $79 million. Building 1, a 302,443-square-foot, single-tenant warehouse, traded for about $39.7 million.

Cushman & Wakefield brokered the deals on behalf of the seller, while CBRE provided market leasing advisory services. Additionally, Flint Development will remain involved in the project with Bridge as a joint venture partner.

The developer broke ground on the industrial campus in 2022, with help from general contractor Brinkmann Constructors and using a financing package originated by Enterprise Bank & Trust, CommercialEdge information shows. The $72.3 million loan currently encumbers only the two buildings owned by the Bridge joint venture, according to Pima county public records.

Tucson Commerce Center, up close

The campus came online in the third quarter of 2023. At the time of sale, the three facilities were more than 91 percent leased to five tenants.

The 302,443-square-foot Building 1 features eight drive-in doors, 52 dock-high loading doors, as well as 254 parking spaces and 78 trailer stalls. Building 2 is a 259,274-square-foot distribution center with 46 dock doors, six drive-in doors and 63 trailer spots.

The third building measures 244,889 square feet and features 42 loading doors, 198 parking spaces and 55 trailer spaces. Additionally, all three facilities have 32-foot clear heights.

The nearly 48-acre campus is at 6690 S. Alvernon Way and 3610 & 3780 E. Valencia Road, some 2 miles from Tucson International Airport and provides easy access to Interstate 10. Downtown Tucson in 11 miles away, while Phoenix Sky Harbor International Airport is within 120 miles.

Cushman & Wakefield’s Executive Vice Chair Will Strong, Senior Director Kirk Kuller, Director Michael Matchett, alongside Senior Associates Molly Hunt and Dean Wiley represented the seller in the deal. CBRE Senior Vice President Tim Healy and Executive Vice President Joe Orscheln provided market leasing advisory.