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MULTI-FAMILY STILL THE RAGE IN TEMPE . . . PROPERTIES ASSEMBLED FOR TWO NEW PROJECTS

Tempe - Keeping with the trend for multi-family projects being built near Arizona State University, two separate sites have been assembled in Tempe that are each targeted for plus or minus 200 apartment units. In one of the planned projects, a venture formed by P.B. Bell Cos. in Scottsdale (Phil Bell, Chapin Bell, principals) and Trinsic Residential Group in Dallas, Tex. (Brian Tusa, managing director) plans to develop 194 apartments at the northwest corner of Broadway Road and Dorsey Lane. That 7.8-acre site is located 1.5 miles southeast of ASU and between McClintock Drive and Rural Road on the east and west. Valley real estate investor and broker Michael Lieb of Michael Lieb Ltd. in Phoenix put the deal together and was paid an undisclosed amount to assign his position in buying the apartment site. The P.B. Bell/Trinsic venture acquired the properties in two cash sales totaling $3.05 million. Records show PBB-TRG Broadway L.P. paid $1.55 million ($53.32 per foot) to purchase a 29,070-square-foot office building located at 1223 E. Broadway Road. The seller was The Wallace L. and Marilyn J. Darling Revocable Trust in Martinez, Calif. (Marilyn Darling, Daniel Darling, Carol Darling, Lynn Rendler, co-trustees). That two-story structure, which was built in 1983 and sits on 2.17 acres, will be razed for the redevelopment. In a $1.5 million deal, the P.B. Bell/Trinsic venture acquired a 5.63-acre parcel located immediately west of the office project at 1213 E. Broadway Road. The seller of that property was Maricopa County. Todd Gosselink of P.B. Bell says construction to start fourth quarter with completion to require 12 months. ORB Architecture in Phoenix is designing the gated complex. One-, two- and three-bedroom units to range from 700 sq. ft. to 1,300 sq. ft. Rental rates yet to be determined. Development cost (land and buildings) estimated at $25 million to $30 million. Construction financing still to be arranged. Over the years, BREW has reported P.B. Bell developing, buying and selling numerous multi-family communities in the Phoenix area. The Tempe apartments will be the first development for Trinsic Residential in the Valley. About a mile north of the multi-family project planned by the P.B. Bell/Trinsic venture, another company has assembled a site in Tempe that is targeted for 225 student housing units with roughly 550 beds. That location is less than one-half-mile east of ASU. In four separate purchases totaling $3.409+ million, companies formed by Helix Capital LLC in Phoenix (Ryan Spiekerman, principal) assembled 3.7 acres located along both sides of Terrace Road and south of Apache Boulevard. Of that land, 2.68 acres is at the southeast corner of Terrace and Apache and just over 1 acre is at the southwest corner of Terrace and Apache. That property could be used for parking to serve the planned apartments. The multi-family site is one block from a light rail station at Dorsey Lane. The companies formed by Spiekerman paid cash for the properties and were represented by Jeff Harris of Helix Properties in Phoenix. Next Gen Investments XII LLC (Spiekerman's company) paid $1 million to acquire a 1.393-acre property at 1321 S. Terrace Road. The seller was 1321 Terrace LLC in Tempe (Akhtar Rahman, manager). Mark Linsalata of Lee & Associates Arizona Inc. in Phoenix represented the seller in the deal. The parcel is occupied by a vacant commercial structure that will be razed for the redevelopment. Next Gen paid $727,800 to purchase a 29,098-square-foot parcel located at 1313 S. Terrace Road. The seller was Terrace Commercial Property LLC in Tempe (Wallace McCook, Ronald McCook, members). There is a small commercial building on that parcel and the tenant is expected to vacate in the next 60 days. That structure also will be scraped for the redevelopment. Next Gen paid $825,000 to acquire a 27,094-square-foot parcel at 1201 E. Apachae Boulevard. The seller was Aaron's Enterprises Inc. in Elk Grove Village, Ill. (Aaron Sloan, pres.). That lot is occupied by a vacant car wash that will be bladed. In a fourth transaction, Next Gen paid $856,362 to purchase a 1+ acre property across the street at 1320 - 1340 S. Terrace Road. The seller was MBD Terrace LLC in Tempe (Robert Mulhern, member). Those two parcels are being used as a mobile home park that is still operating. Spiekerman says the land could be used to support the planned student housing complex on the other side of Terrace Road. Over the years, BREW has reported companies formed by Spiekerman acquiring, selling and developing numerous real estate properties in the Valley. Spiekerman says he is looking for more investment opportunities in the Phoenix area. Spiekerman put together a partnership that is close to finishing construction a 225-unit apartment community at the southeast corner of 36th Street and Campbell Avenue in Phoenix. Get more from Gosselink at (480) 951-2222. Tusa of TRG is at (214) 462-7190. Lieb is at (602) 870-9741. Call Spiekerman at (602) 799-0699.




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