DMB Sells Tempe’s Centerpoint on Mill for $38M; Wood Partners to Build Luxury M-F Complex in Scottsdale
- Oct 04, 2013
In a $38.4 million deal, Scottsdale-based DMB, Inc. sold Centerpoint on Mill, a 127,027 square-foot mixed-use property in the downtown Tempe, to Mill Avenue Retail L.L.C. of Scottsdale.
Glenn Smigiel, Bob Young, Steve Brabant and Rick Abraham with(photo here) CBRE Group Inc.’s Phoenix office negotiated the sale on behalf of DMB. Mill Avenue Retail L.L.C. represented itself.
The upscale office-retail development is located on a 22-acre tract at the northwest corner of Mill Avenue and University Drive, near Arizona State University, the Mill Avenue District and METRO light rail station.
Overall, Centerpoint on Mill was 87% leased at closing and its office space was 100% leased. AMC Theatres, Lincoln Strategy Group and One Energy will soon join a tenant roster that includes Churchill’s Fine Cigars, Devil’s Diner, Fat Tuesday, and Five Guys. Parking rights to approximately 720 parking spaces were also included in the deal.
Launched in partnership with the City of Tempe almost three decades ago, Centerpoint on Mill was DMB’s first large-scale mixed use development. Over the years, the property served as a catalyst for new development, attracting businesses, entertainment, national office and retail users to Mill Avenue.
Tempe is currently one of metropolitan Phoenix’s strongest submarkets, with a 5.1 percent Class A office vacancy rate, well below the metro average of 18 percent, according to CBRE.
In multi-family development news, Wood Partners plans to break ground in December on Alta Scottsdale, a $38 million, 218-unit luxury apartment project.
Designed by Dallas-based Womack+Hampton Architects L.L.C., the 190,000-square-foot rental community will be situated on a 6.5 acre pad one mile from downtown Scottsdale. The development will consist of two four-story Italianate buildings offering 140 one-bedroom units, 76 two-bedroom units and two three-bedroom apartments. Units will feature granite countertops, stainless steel appliances, vinyl plank flooring and many locally sourced materials. Community amenities will include a club room and bar area, a fitness center and a Frank Lloyd Wright-inspired pool area.
Completion is set for summer 2015. Pre-leasing is expected to start in November 2014, with rents about 30 percent lower than typical high-end apartments in the local market. Wood Partners will serve as its own general contractor.
Photo credits: Centerpoint on Mill official website