(PHOENIX) – Hines, the international real estate firm, announced today that it has acquired the Southwest Industrial Center, a Class A industrial park located in the heart of the Southwest Valley submarket in Phoenix, from Hillwood Property Trust. Financials on the deal were not disclosed.
The project consists of a 684,000-square-foot, 32-foot clear logistics warehouse and an adjacent development parcel capable of accommodating a second building of 567,000 square feet. The existing building is 35 percent leased to AmerisourceBergen, a market leader in pharmaceutical distribution, who is currently #16 on the Fortune 500.
Palmer Letzerich, Hines senior managing director, said, “Our logistics group is excited to continue our expansion in Phoenix with what we see as the Southwest Valley’s premier property. With our recent investment in Goodyear and this new acquisition at Buckeye and 75th, we are pleased with our growth in the Southwest Valley. As part of our commitment to the Phoenix market, we are now targeting investments in the Sky Harbor airport submarket.”
Hines has assigned the leasing assignment to the Tony Lydon/Marc Herzberg team at JLL. The acquisition of Southwest Industrial Center is Hines’ second logistics investment in Phoenix and brings the Hines logistics platform to over 5.1 million square feet in the Southwest Region of the United States.
Hines Managing Director Charlie Meyer noted, “The Southwest Industrial Center is a quality asset that we feel we can position immediately to meet the growing tenant demand in the Southwest Valley. We are aggressively targeting tenants of up to 455,000 in the existing building and have the flexibility to accommodate build to suits of up to 570,000 on our development parcel. We look forward to working with JLL on a successful lease up of building one and on the development of building two.”
Hines is a privately owned global real estate investment firm founded in 1957 with locations in 192 cities in 20 countries. Hines has $93.2 billion of assets under management, including $47.9 billion for which Hines provides fiduciary investment management services, and $45.3 billion for which Hines provides third-party property-level services. Hines has 105 developments currently underway around the world, and historically, has developed, redeveloped or acquired 1,180 properties, totaling over 379 million square feet. The firm’s current property and asset management portfolio includes 483 properties, representing over 199 million square feet. With extensive experience in investments across the risk spectrum and all property types, and a pioneering commitment to sustainability, Hines is one of the largest and most respected real estate organizations in the world. Visit hines.com for more information.