Cushman & Wakefield Negotiates One of Phoenix's Largest 2010 Industrial Leases
30 Mar, 2010, Phoenix
Cushman & Wakefield's Phoenix Industrial Brokerage group today announced the completion of a long term lease comprising 216,845 square feet of industrial space at the Buckeye Logistics Center, 6913 West Buckeye Road in Phoenix. Cushman & Wakefield Senior Director Pat Harlan represented the Tenant, philosophy, Inc., and a separate Cushman & Wakefield team composed of Steve Sayre, Darren Tappen and Kyle Westfall represented the Landlord, Principal Global Investors.
"This transaction enables philosophy, a growing Phoenix-headquartered skincare and beauty company, to significantly increase its distribution output in order to accommodate market demand," said Pat Harlan, senior director in Cushman & Wakefield's Phoenix Industrial group. "The end result of this successful negotiation is highlighted by the quality product offered by Principal Global Investors and its ability to meet the strategic growth initiative of philosophy. Cushman & Wakefield's industrial team is delighted to have delivered value on both sides this important transaction."
Under the new lease, philosophy will significantly expand its operation by relocating from its existing 100,000 square foot facility at 7300 West Detroit in Chandler, Arizona to its new 216,845 square foot distribution center in Phoenix. philosophy makes and markets products across all categories of beauty, including skin care, bath & body care, fragrances and color cosmetics. Its products are sold through multiple complementary channels of distribution, including department store and specialty retailers, direct response television and its own website www.philosophy.com.
Buckeye Logistics Center offers philosophy a recently built, state-of-the-art building with the contiguous square footage they require.
Additional amenities that attracted philosophy include 46 dock-high loading positions; a clear-height of 32 feet; and secured truck courts. Strategic considerations also included the Center's proximity to I-10 corridor and the deep labor pool in the surrounding area.
Buckeye Logistics Center was constructed in 2008 by The Alter Group and subsequently acquired by Principal Global Investors. The facility consists of two buildings totaling 684,235 square feet. philosophy's new lease brings Building II up to100 percent occupancy and brings the entire facility up to 70 percent occupancy. HD Supply occupies 175,000 square feet of Building I leaving approximately 205,000 square feet currently available.
Principal Global Investors is a diversified asset management organization and a member of the Principal Financial Group®, with $215.4 billion in assets primarily for retirement plans and other institutional clients.
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