Mass Equities Sells 2 Class A Phoenix Office Buildings

Chandler Corporate Center I. Image courtesy of CommercialEdge

Mass Equities has completed its $22 million sale of Chandler Corporate Center I and II, two Class A mid-rise office buildings totaling 136,728 square feet located at 585 and 500 N. Juniper Drive in Chandler, Ariz. Zeitlin Capital, which had acquired the assets over a single transaction, financed the purchase with a $14 million loan provided by Wells Fargo Bank, according to CommercialEdge information. Cushman & Wakefield represented the seller.

Chandler Corporate Center I and II came online in 2008 and 2009, respectively, as the first buildings in the 75-acre Chandler Corporate Center, which spans six buildings totaling 488,659 square feet.

Chandler Corporate Center II. Image courtesy of CommercialEdge

Chandler Corporate Center I spans 68,208 square feet, over two stories, according to CommercialEdge. The property was constructed to LEED Silver specifications and was 71 percent leased at the time of sale.

Chandler Corporate Center II spans 68,520 square feet, built to similar specifications as the first. The building was 85 percent leased to four tenants.

The assets are within 2 miles of Loop 101 and 202, providing quick highway access to many of metro Phoenix’s surrounding areas. Tenants have access to more than 4 million square feet of retail space, in addition to myriad dining and hospitality options. Downtown is 13 miles away.

The Cushman & Wakefield team representing the seller was led by Executive Managing Directors Chris Toci and Jerry Roberts, alongside Managing Director Pat Boyle.

Phoenix’s office hurdles

Despite a lagging construction pipeline of 840,000 square feet and ongoing office sector struggles, Phoenix retains some relative stability, experiencing $2.8 billion in sales in 2022, a CommercialEdge report shows. In recent years, the city has benefitted from its strong demographic fundamentals, relative affordability and the relocation of numerous high-profile employers to the area.

A recent office headline around the Valley of the Sun is United Realty’s purchase of an 85,979-square-foot office building, also in Chandler. The asset is part of the same campus as Chandler Corporate Center I and II.