An office complex near Tucson International Airport will be converted to flex space with showrooms and storefronts.
Local developers Larsen Baker bought Valencia Tech Park, 2850-3220 E. Valencia Road, for $4.9 million.
The 90,000-square-foot complex was 50% occupied at the time of purchase.
Larsen Baker plans to convert it from predominately office use to light industrial users who also need offices, showrooms and retail storefronts.
The buildings have roll-up doors and warehouse spaces with high ceilings.
The Tucson airport trade area is in high demand by users looking for this sort of flex space.
This project will be Larsen Baker’s third Opportunity Zone redevelopment. The zones were added to the tax code in 2017 as a way to encourage economic development in distressed areas.
With proceeds from an unrelated sale, investors can defer capital gains taxes if the profits are used to develop within the zones, which were identified by the city of Tucson. The airport area is in the zone.
Bryce Horner and Tim Healy, with CBRE, represented the seller, 3000 East Valencia LLC, and Larsen Baker was represented by its broker, Isaac Figueroa.
Other recent commercial transactions include:
Panda Express and Five Guys, a 6,317-square-foot retail property at 2800 N. Campbell Ave., sold to private investors for $4.4 million. Mark Ruble and Chris Lind, with Marcus & Millichap, handled the sale.
First Watch and Mattress Firm Shops, an 8,846-square-foot retail property at 1080 W. Irvington Road, sold to private investors for $4.3 million. Chris Lind and Mark Ruble, with Marcus & Millichap, handled the sale.
REM Investment Group LLC bought Grant Road Place, a 20,057-square-foot office complex at 5625-5687 E. Grant Road, from the Shenitzer Family Trust U/T/A, the Pepper Trust U/T/A, and WV LLC for $2.6 million. Richard M. Kleiner, with Picor, represented both parties.
Dr. Christopher Chin bought an 11,476-square-foot office condo at Oracle-Ina Professional Plaza, 7520 N. Oracle Road, from REDUS One LLC for $1.9 million. Aaron LaPrise, with Picor, represented the seller, and Zdravko Manov, with Arizona Healthcare Realty LLC, represented the buyer.
Simple Real Estate Solutions LLC bought Geronimo Triplex, a six-unit complex at 2511 and 2515 N. Geronimo Ave., from ECM Real Estate Investments LLC for $530,000. Allan Mendelsberg, with Picor, represented both parties.
