The investment
The opportunity.
An 85,718-square-foot manufacturing-oriented industrial building repositioned through speculative capital improvements in an infill Phoenix metro location.
Acquisition of a vacant 85,718 square foot industrial building in Tolleson, Arizona. Del Rio Capital identified the opportunity to acquire a high quality manufacturing oriented asset in a desirable infill Phoenix metro location.
The building, built in 2008, was recently vacated by a full building tenant and was in need of significant capital improvements in order to successfully market and re-lease the building. The building seller was unable to comprehensively renovate the property as they had purchased the building as a NNN investment and was unwilling to invest significantly into the asset.
Del Rio's business plan focused on making the building capital improvements speculatively in order to properly position the asset for re-leasing. Building improvements began within weeks of acquisition and proved fruitful as Del Rio was able to execute a full building lease with Fortune 500 company Carvana within three months of building acquisition, a full 12 months ahead of business plan.
The business plan
Acquire a vacant, high-quality industrial asset and complete the capital improvements needed to position the building for re-leasing.
Investment highlights
- 85,718 square feet
- Built in 2008
- Infill Phoenix metro location
- Full-building lease executed within three months of acquisition