TerraCap Management LLC, a privately held investment firm headquartered in Naples, FL, announced today the acquisition of Valley Vista, a 262k square foot three-property industrial portfolio spread across the Phoenix, AZ metropolitan area.
The three single-story buildings are located in the dense submarkets of Chandler, Tempe, and south of the Phoenix Sky Harbor Airport. The infill, last-mile nature of each asset provides proximity to the top population centers in Phoenix and allows for immediate access to the greater Phoenix MSA via Loop 202, Loop 101, I-10, and I-17.
“We are pleased to expand our industrial footprint in Arizona. These new acquisitions in populated infill locations are exciting additions to our portfolio that predominately consists of industrial and multifamily assets in high-growth markets only,” said Steve Hagenbuckle, TerraCap Founder and Managing Partner.
TerraCap is acquiring Valley Vista at 100% occupancy with a credit tenant roster. TerraCap plans to implement several capital projects at the portfolio to improve each property’s curb appeal, bolster each building’s amenities, and enhance the tenant experience. These improvements should allow for the opportunity to quickly reposition the assets into top industrial options in each market.
“This is a strategic acquisition for us as we continue to build our portfolio in the greater Phoenix market,” said Steve Good, TerraCap Partner and National Director of Acquisitions. “We appreciate the seller and the Cushman team’s efforts during the transaction; we wish all parties the best.”
The seller was represented by Will Strong and Molly Hunt of Cushman & Wakefield in the disposition. Cushman & Wakefield was hired as property manager.
TerraCap considers thematic factors such as business formation, employment growth and population growth on a market-by-market basis, as most metros and submarkets have unique economic-based industries and therefore move through their economic cycles differently. TerraCap makes moderate strategic overweighting or underweighting to markets, depending on the specific economic drivers influencing supply and demand.
