News

Top executives of downtown Phoenix’s largest construction firms remain uneasy despite the increased number of construction cranes. Concerns center around challenges in funding construction loans and refinancing real estate, fluctuations in the overall economy due to interest rate hikes, a shortage of skilled labor in the Phoenix market, and the potential impact of a recession. …

Economics, labor shortages, supply chain woes keep construction execs up at night Read More »

Over 60 companies in the automotive and semiconductor industries, mostly from Taiwan, Singapore, Japan, New Zealand, Switzerland, and Ireland, converged in Phoenix for expansion opportunities, marking the city’s first time hosting a spinoff event from the annual SelectUSA Investment Summit. The event, which was the largest business delegation ever hosted by the Greater Phoenix Economic …

Phoenix Hosts Largest-Ever Delegation of Automotive Semiconductor Industry Leaders Read More »

Real estate investment firm Greystar Real Estate Partners has begun construction of Peoria Place, a $500M mixed-use development in Peoria’s Old Town area. The development will span 88 acres at full capacity, and the first phase will include a 411,918 SF industrial park known as Caliber. There will also be apartments, retail and 243 single-family …

Over Easy, Other Restaurants to Open near ASU in Tempe; 8 More Real Estate Deals to Know Read More »

Shares of PacWest Bancorp dropped significantly after a Bloomberg report indicated that the bank is considering a range of strategic options, including a sale. The Los Angeles-based bank is currently trading at 86% below its value on March 8. The bank is open to formal auction and could also potentially break up or look to …

PacWest Drops Further on Reports of Potential Sale Amid Banking Crisis Read More »

JP Morgan Chase’s analysis suggests that commercial real estate has remained resilient in the first half of 2023, with many categories able to withstand recessionary and other headwinds. The multifamily and industrial sectors are performing well, while neighborhood retail may have been underestimated. The affordable housing supply remains a focus for developers and policymakers. The …

JP Morgan Chase Says CRE Asset Classes Resilient in H1 Read More »

The U.S. Federal Reserve has raised its base interest rate for the tenth time in just over a year, despite concerns over a recent bank failure and the ongoing federal debt ceiling dispute. The increase of 25 basis points brings the target range for the federal funds rate to between 5% and 5.25%, marking the …

Fed Raises Interest Rate for 10th Time in Effort to Reach Inflation Goal Read More »

TCN Worldwide has released their top commercial focused member deals of 2023 which includes 3 transactions with LevRose representation. Partner Zak Kottler, Partner Joe Cosgrove and Vice President Hunter Chasses representation of the landlord in a $9,117,133 office leasing was listed 3rd on TCN Worldwide’s top 5 office deals. At 2nd on TCN Worldwide’s top …

TCN Worldwide Commercial Focus, Q1 2023: Top TCN Worldwide Member Deals Read More »

Phoenix mortgage banking firm Gantry reported a year-on-year fall of 50% in Q1 2023 across all assets in the Phoenix metro. Gantry attributed the fall to higher borrowing rates combined with fewer sales transactions. The firm is, however, seeing an uptick in commercial mortgage requests for buying and refinancing land and property as borrowing rates …

Phoenix Borrowers Seek Alternative Financing Sources for Commercial Loans as Lenders Become More Selective Read More »

The rising interest rates and record-high inflation are causing potential homebuyers to seek rental properties instead. As a result, the single-family rental (SFR) market is experiencing growth, with Phoenix, in particular, seeing an increase in demand due to its expanding population, new jobs, and locals’ affinity for rentals. Mark Barton, the President of the Denver …

‘There’s So Much Room for Expansion’ In Phoenix’s SFR Market Read More »

The wave of commercial real estate (CRE) loan maturities that is due to hit in the coming years is causing concern among the industry, but Aaron Jodka, Colliers’ research director of US Capital Markets, believes that banks and lenders will renew or extend loans if coverage ratios are met. Borrowers with interest rate swaps should …

This Analyst Believes Banks Will Extend CRE Loans as Maturities Come Due Read More »

Investment in U.S. office properties fell 68% in Q1 2023, to $10.7B, the lowest level since 2010, as property markets faced a deep freeze. Office sales fell fastest in the face of rising interest rates, shrunken office demand, and uncertainty about the economy. It comes after a year of challenges and a sharp drop-off in …

‘Frightening Tsunami’: Office Investment Nose-Dive In Q1 To Lowest Point Since 2010 Read More »

SCOTTSDALE, Ariz. (April 2023) – LevRose CRE/TCN Worldwide brokers facilitated over 90 deals in Q1 2023 across the valley. Office and Land assets dominated the transactions. Read more for several highlighted transactions from Q1 2023:   Partners, Zak Kottler and Joe Cosgrove and Advisor, Hunter Chasse represented the sublessor (Prosperity Home Mortgage, LLC) in the …

LevRose CRE Q1 Activity Across the Valley Read More »

The CEO of the Arizona Coyotes, Xavier Gutierrez, and Tempe City Councilman Joel Navarro debated Tempe residents who oppose the hockey team’s proposed $2.3 billion arena and entertainment district development. The project would include an arena, restaurants, stores, offices, hotels, and apartments. While the Coyotes never proposed taxpayer money goes towards the project, the team …

Taxes and tax breaks focus of heated debate as two sides square off over Coyotes arena deal Read More »

Phoenix is the fastest-growing industrial market in North America with a growth rate of 14.3% in 2022, ahead of Savannah, Georgia, and Houston. The growth is attributed to demand for buildings of 200,000 square feet or larger and a surge in development of warehouses of one million square feet or larger. Third-party logistics companies (3PLs) …

Tenant demand for big-box warehouses surges in Phoenix metro Read More »

The healthcare real estate market is experiencing high demand due to aging demographics, according to a report by Irving Levin Associates. Although healthcare merger and acquisition (M&A) activity slowed in Q1 2023, it remained high. MOB acquisition activity increased by 13.7% in the quarter. Despite concerns over interest rates and other headwinds, the healthcare real …

Medical Office Deals Flourish While Healthcare M&A Slows in Q1 Read More »

A commercial mortgage-backed securities (CMBS) loan worth $161.4m that was used to finance nine Brookfield-owned office buildings has defaulted due to “monetary default”, according to CRED iQ data. KeyBank has taken over the debt package and is working with the borrower to determine a path forward. Morgan Stanley originated the loan in 2018 in a …

Brookfield Defaults on Class B Office Portfolio Debt Read More »

Blackstone, the world’s largest alternative asset manager, has raised the largest real estate fund in history at $30B. The co-head of real estate for Blackstone Global, Kathleen McCarthy, has detailed how and where the firm will spend the money, which sectors it will avoid, and how it will avoid becoming prey rather than a predator …

Blackstone’s Real Estate Co-Head Reveals How It Will Spend New $30B Fund Read More »

We are excited to announce that we were featured in AZ Big Media’s Top 10 Brokerage Firms in Arizona for 2023! Read the article below: Here are the Top 10 commercial real estate brokerage firms in Arizona, based on public voting for the 2023 edition of Ranking Arizona, the state’s biggest and most comprehensive business opinion …

Ranking Arizona: Top 10 brokerage firms for 2023 Read More »

Office tenants are now scrutinizing the financial health of office landlords, as the U.S. office market faces turmoil, missed loan payments, and foreclosure warnings. The shift is a reversal from the past when office landlords demanded information on tenants’ financial standing before sealing deals. The queries come as prominent building owners across the U.S. are …

Show Me the Financials: Office Tenants Now Grilling Landlords Before Inking Deals Read More »

Valley health care company Equality Health is relocating to Scottsdale’s Riverwalk after outgrowing its current office. The new office is located on Salt River Pima Maricopa Indian Community land and will be occupied by Equality Health for ten years. The company plans to occupy nearly 150,000 square feet throughout the lease, starting with about half …

Equality Health set to expand, inks large lease for Scottsdale headquarters Read More »

Data research firm CoStar found that apartment building sales have cratered to their lowest levels since 2009. At $14 billion in the first quarter of 2023, multifamily investment volumes fell 74 percent compared to the same period in 2022. The decline in building sales came after the sector experienced substantial activity in 2022, hot on …

Multifamily Property Sales Plummet as Sector Continues to Cool Read More »

So far in 2023, the Phoenix metro has seen about 81 industrial sales compared to 163 in the first part of 2022. Some of the most recent and largest sales in the Valley include a Circle K distribution center, a planned Frito-Lay distribution facility and a newly developed commerce park, among others. The 249,904-square-foot class …

Investment in Phoenix-area industrial facilities continues amid uncertain capital market Read More »

Newly unveiled plans for the Biltmore Commerce Center call for the 250,000-square-foot office building to be renamed Bond. Updates and amenities will include a floating boardroom, a podcast studio, a two-story luxury fitness center, a sub-level speakeasy experience and a coffee, cocktail, and food service bar. Additionally, there will be 25,000 square feet dedicated to …

First look: George Oliver unveils details on major renovation of Camelback Corridor building Read More »

In February of this year, the National Retail Federation predicted annual U.S. retail sales growth between 4%-6% for 2023, with non-store and online sales expected to grow between 10%-12%. This is lower than the 7% growth seen in 2022, but higher than the pre-pandemic average of 3.6%. There was also a surge of CEO departures …

Trade Group Predicts Retail Sales Growth, CEO Departures Surge, Pending Home Sales Rise Read More »

The FDIC is leaning on the private sector to help unwind Signature Bank’s vast commercial real estate loan portfolio of roughly $60 billion. Newmark has been tapped to lead the sale process, with the loans being structured into pools. The majority of the loans are five-year, fixed rate, and are high-performing but may be sold …

Newmark to Shepherd Sale of $60B in Signature Loans Read More »

This year, around $270B of commercial real estate loans are set to expire, of which $80B are for office buildings. This has caused concern due to the low office occupancy rates, increasing the risk of foreclosure. Multiple high-profile defaults have already occurred, such as Brookfield Asset Management defaulting on $750M of debt in Los Angeles …

CRE Is About To Be A ‘Real Mess’ And A $270B Problem For The Banks Read More »

A 25-story apartment tower is proposed for the northeast corner of Mill Avenue and University Drive in Tempe. The project is comprised of 453 apartment units and 3,800 square feet of commercial space on the ground floor. Additionally, a 7-story apartment project is underway in Tempe which will bring 200 new rental units, including 180 …

25-story apartment tower proposed for busy corner of Tempe; other real estate deals to know Read More »

Cedar Grove Group is planning to transform an office building in Phoenix, Arizona into 145 new apartments. The developer is requesting to rezone the property from industrial park to multifamily, and the city planning commission is scheduled to vote on the rezone April 13 with a recommendation for approval from the North mountain Village planning …

Developer plans to rework office building near Metrocenter in Phoenix into multifamily Read More »

Atlanta-based EV Hotel Group is seeking a $150,000 grant to help with the redevelopment and preservation of the former City Center Motel in downtown Phoenix. The project is estimated to cost nearly $27 million, and the grant would cover $500,000 worth of preservation work. The city will receive a 30-year conservation easement on the property …

Developer seeks grant for restoration of historic Phoenix motel Read More »

The recent marquee failures of two regional banks have put the lifeblood of the commercial real estate industry under threat. Around 80% of commercial real estate lending is provided by banks with assets less than $250B, meaning that these smaller banks are a huge source of CRE investments. The Federal Reserve, FDIC, and Treasury Department …

Bank Contagion Fears Shake The Foundation Of Commercial Real Estate At Its Core Read More »