|Phoenix Corporate Center - 3003 N. Central Avenue|
VIZZDA – 6/14/2013- A Notice of Trustee Sale was recorded against a $54m face value note secured by the 26-story Phoenix Corporate Center located at 3003 N Central Ave. The foreclosing beneficiary is ColFin PHX Tower Funding LLC—an entity formed by Colony Capital. Petrus Partners, in care of their local affiliate Crown West Realty is the trustor under the note.
Crown West Realty acquired the building on June 26th, 2007 for $69.25M or $155.33 per rentable square foot. Krausz Companies—who had held the property since 1990—was the seller and JP Morgan Chase provided $54M in financing for the deal. JP Morgan assigned the note to Colony on December 19th, 2012. Per a Colony Financial, Inc. 10-k:
In December 2012, we invested $16 million in a joint venture with Co-Investment Funds that acquired a sub-performing first mortgage loan secured by a high-rise office tower in a main metropolitan center located in Phoenix, Arizona. The loan was acquired for approximately 59% of its UPB of $54 million. Our share of this investment is 50%.
Located north of the northeast corner of Central Avenue & Thomas Road, the Phoenix Corporate Center was originally built in 1989. Owner’s describe the property as 445,811 RSF with a 17,095 ft2 floor plate. The 4.31 acre site includes a 5-level above grade and 2-level sub-grade parking garage with 1,124 spaces. Amenities include ground-floor retail, 3,600 ft2 fitness facility, and a 180-seat auditorium. The building has undergone several renovations of varying scope. The law firm, Fennemore Craig, was an anchor tenant in the building—occupying over 100k ft2 of space for a time—dating back to 1994. The firm moved to the Biltmore area in April of 2013.
The Trustee for the note is Mr. Jonathan T Brohard of Polsinelli. Auction is presently scheduled for September 18th, 2013 at 11AM.
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