SunCap to Expand Office Portion of Phoenix Campus – What is a Ground Lease?

Development, News, Office, Phoenix, West, First National Bank of Pennsylvania, GID, Graycor Construction Company, Lee & Associates, SunCap Property Group

Rendering of Gilbert Spectrum Building 3. Image courtesy of SunCap Property Group

SunCap Property Group has announced the next office expansion of its 64-acre Gilbert Spectrum campus in Gilbert, Ariz. The 119,222-square-foot, Class A building is expected to break ground this month, with delivery slated for the fourth quarter of 2024.

Dubbed Building 3, the office project landed a $37.7 million construction loan in June, originated by First National Bank of Pennsylvania, CommercialEdge data shows. Graycor Construction Co. will serve as general contractor, Blamer Architectural Group is the architect in charge, while Lee & Associates is the appointed leasing broker.

Developed in a joint venture with GID, the business park currently comprises six buildings, totaling 625,828 square feet of office and industrial space, said SunCap Senior Vice President Mike Orr, in prepared statements. Upon full build-out, Gilbert Spectrum will feature up to 850,000 square feet of office, flex industrial and tech space.

Current tenants at the campus include Northrop Grumman, which fully occupies the 120,294-square-foot Building 5 and the 100,000-square-foot Building 9, along with S&M Moving Systems, Varsity Brands and Barner Industries.

The newest office building at Gilbert Spectrum

To be situated on an 10-acre lot between the southwest corner of Elliot Road and South McQueen Road, Building 3 will feature LED lighting, an outdoor amenity area and a parking ratio of 5 spaces per 1,000 square feet. Leasing at the property will be led by Lee & Associates’ Associate Blake Peters and Principal Chris McClurg.

Earlier this year, the developers of Gilbert Spectrum announced that three more warehouses have been completed, adding some 310,000 square feet of space to the park.

Last month, Sunbelt Investment Holdings Inc. and Graycor broke ground on a 4-million-square-foot industrial park in Goodyear, Ariz. The development is part of a larger, 1,600-acre business park, slated to encompass 20 million square feet of office, industrial and retail space.

The post SunCap to Expand Office Portion of Phoenix Campus appeared first on Commercial Property Executive.

The development will total 850,000 square feet of office, flex industrial and tech space.
The post SunCap to Expand Office Portion of Phoenix Campus appeared first on Commercial Property Executive. Read More Commercial Property Executive

In the simplest form, a ground lease is a long-term net lease (usually 49 years or 99 years) of land including any improvements on the said land. Assets that can be subject to a ground lease include but are not limited to, vacant land, office buildings, and large residential buildings.