What is Greystar?
The company that forked over $43.7M for what they bought into - Unbound spent the last year and a half acquiring the 154 acres located near the northeast corner of Pecos and Sossaman roads and obtaining approval from Mesa’s planning and zoning board for a development named Unbound Gateway.
Unbound purchased 18 acres in September 2021 and remaining 136 acres in January 2022 for a combined total of $27.1 million.
Two-Million-Square-Foot Gateway Grand Breaks Ground in Southeast Mesa
June 28, 2022 at 10:25 amGreystar, an international development and management company, broke ground today on Gateway Grand, a more than two-million-square-foot, three-building industrial park at the northeast corner of Sossaman and Pecos Roads in Mesa.
"Mesa is experiencing substantial economic growth, especially in this area of our city," said Mesa Mayor John Giles. "This industrial park will offer another great option for manufacturing businesses looking to locate in Mesa, with the benefits of solid infrastructure and easy access to the airport, freeways and planned railroad extension."
Gateway Grand is located in the City of Mesa's Pecos Advanced Manufacturing Zone, which is just south of Phoenix-Mesa Gateway Airport, and within minutes of both State Route 24 and the Loop 202. Building A will be 1,095,961 square feet, with buildings B and C being 537,429 square feet each. All three buildings will feature 40-foot ceiling heights.
The industrial park is expected to be completed by May 2023 and will be adjacent to the forthcoming Pecos Industrial Rail and Train Extension planned by Union Pacific Railroad, which will provide significant rail freight access to companies in the area.
"This area continues to grow into a hub for economic growth, making it one of the most critical areas in the East Valley," said District 6 Councilmember Kevin Thompson. "Greystar understands its importance, and I could not be more thrilled that they chose Mesa to open their new industrial park, Gateway Grand."
Qualified companies locating at Gateway Grand may take advantage of the City of Mesa's Foreign Trade Zone providing reduced or deferred tariffs and duties, and reduced property taxes.
"Greystar Logistics is pleased to break ground on our first Class-A industrial project in Arizona. The immediate access to intermodal transportation, an educated workforce, and high population growth has created the ideal ecosystem for advanced manufacturing and logistics companies expanding their operations. Our corporate neighbors are on the forefront of progression, and we're excited to attract likeminded employers to the area," said Billy Cundiff, Greystar Managing Director. "It's been a pleasure working with the City of Mesa, and we look forward to delivering this successful project."
The builder for this project is Derek Builders. For leasing opportunities, contact CBRE representative Jackie Orcutt at 602-735-1978; Kevin Cosca, 602-735-5672; Pete Wentis, 602-735-5636; or Jonathan Teeter, 602-735-1929.
RELATED CONTENT
05 March 2019
Spec Industrial Investment in One of Mesa's OZones
The City of Mesa has 11 census tracts that have been designated Opportunity Zones by the U.S. Department of Treasury. Last year on 12 Dec 2018 the City of Mesa released
Mesa Opportunity Zone Investment Prospectus
http://www.mesanow.org/news/public/article/2227
"Our Opportunity Zones provide a boost in returns for private, tax-free investment in low-income areas with economic need," Mayor John Giles said. "Investment in these areas will bring great benefit to our residents and private investors alike."
_________________________________________________________________________
_________________________________________________________________________
Readers might want to take note that water is a precious resource here in the desert and the East Valley.
On top of the $150,000,000 for SBWTP and the $200,000,000 for the GWTP, take a look>
As you can see in the infographic to the right, the taxpayer burden for costs in the City of Mesa's FY17/18 Wastewater Treatment Bond Projects in this fiscal year's budget amount to $45,3000,000 > 23.9%.
Together with the costs of water at $80,9000,000 (42.5%) they consume 2/3 or 66.3% of the entire Budget Pie.
Wastewater costs more than 2X as much as the total amount spent on Parks and 5x as much as money spent on Electric.
________________________________________________________________________
Abundant Water and Waste Water Capacity – The City of Mesa maintains a substantial water and wastewater infrastructure network in the Zone, and is continuing to expand to accommodate for future industry growth.
The City is investing over $150 million to construct the Signal Butte Water Treatment Plant, which will add an additional 24 million gallons per day (MGD) of pumping capacity to the area by Summer 2018.
In addition, a $200 million expansion of the existing Greenfield Water Reclamation Plant will also enhance wastewater capacity in the area by 14 MGD, bringing the total plant capacity to 30 MGD.
http://www.mesaaz.gov/business/economic-development/business-districts-maps/mesa-gateway-area/pecos-advanced-manufacturing-zone
Major Employers
- Bridgestone Americas – R&D facility conducting research and developing manufacturing process to produce rubber from the Guayule plant
- CMC Steel – Micro steel mill producing rebar from recycled steel
- CRM Rubber – Producer and supplier of crumb rubber to the asphalt industry. Largest crumb rubber producer in the western U.S.
- FUJIFILM – Manufacturer of chemicals for the semiconductor industry
- Matheson TriGas – Producer and supplier of industrial gasses used in manufacturing industries such as steel, fabrication, medical, water treatment, semiconductors, chemicals and food freezing
- Metso – Provider of industrial equipment repair and field services for the mining, aggregates, and process industries
- Mitsubishi Gas Chemical – manufacturer of chemicals for the semiconductor industry
- TRW Vehicle Safety Systems – Manufacturer of airbag components
The two companies that are mentioned in response to Councilmember Freeman's question are included in the map image here:
......................................................................................................................................................
- First of all, the Rescue Act monies coming into the state at both state level and county level total $870 million dollars in two increments starting May 11 and then many localities will see dollars.
Treasury hasn’t released yet how those dollars can be spent so we have been working with the country and other partners on different options at this juncture to ensure that these dollars can be spent wisely and in a sustainable way over time. - In relation to infrastructure and the debate in Washington around the dollar amounts.
> We could see $6 trillion dollars out on the market in 18 months between PPP, Rescue Act and now if the infrastructure bill goes as planned, a massive amount of capital. =============================
- Union Pacific is currently working on securing property/options for the physical path and route with assistance from the City and partners.
- By and large we have most of the route and property owners on board with the location.
- Union Pacific continues to work on the engineering and design to present to the Surface Transportation Board, the Federal oversight that provides guidance on the project.
- Gathering further support and buy-in from stakeholders to strengthen RAISE Grant application.
March 2022
Greystar Buys 154-Acre Industrial Development Site Near Phoenix Mesa Gateway Airport for $43.7M
MESA, ARIZ. — Greystar has acquired a 154-acre industrial development near Phoenix Mesa Gateway Airport from Phoenix-based Unbound Development. The acreage sold for $43.7 million.
Located in Phoenix, the asset consists of six different parcels and provides Greystar with a Class A industrial development opportunity.
Unbound spent the last year and a half acquiring the 154 acres located near the northeast corner of Pecos and Sossaman roads and obtaining approval from Mesa’s planning and zoning board for a development named Unbound Gateway. Unbound purchased 18 acres in September 2021 and remaining 136 acres in January 2022 for a combined total of $27.1 million.
Greystar will utilize the development team that Unbound had assembled, with Derek Builders as general contractor, Deutsch Architecture Group as designer and Hunter Engineering as civil engineer. The development will feature approximately 2.2 million square feet in three buildings, including a 1.2 million-square-foot building, a 517,029-square-foot building and a 476,229-square-foot building.
Nation's largest apartment management company looks to build huge industrial development in Mesa
Greystar Real Estate Partners, the largest apartment management company in the United States, has acquired 154 acres for a future industrial development near the Phoenix-Mesa Gateway Airport.
The company plans on building three industrial buildings — totalling 2.2 million square feet — directly south of the airport near the northeast corner of Pecos and Sossaman roads, according to documents filed with the city of Mesa. One of the buildings will be nearly 1.2 million square feet, making it one of the largest freestanding buildings in the area. The other two will be 517,029 and 476,229 square feet.
Greystar, which historically has owned, managed and developed multifamily complexes in Phoenix and around the world, has recently started getting into the lucrative industrial development sector.
Expanding the portfolio
The Mesa project is part of a string of acquisitions and industrial developments Greystar is working on. . .
Railroad issues
Greystar acquired the land from Phoenix-based Unbound Development. Unbound, which is a real estate development company founded by industry veteran Andy Ogan in 2020, obtained the 154 acres through multiple acquisitions in 2021 and 2022.
Ogan paid a total of $27.1 million for the properties.
Unbound started the development process for the land in 2021, coming up with a site plan, assembling a development team and submitting zoning change requests to the city of Mesa. It called the project Unbound Gateway. . .
Initial plans called for 2.5 million square feet, but they were objected to by Union Pacific Railroad. The railroad company has plans to build a rail spur connecting several large industrial developments in southeast Mesa, and it would have to cross part of Unbound’s property.
Unbound’s initial plans didn’t feature the rail spur, so after concerns were raised in October 2021, Unbound’s team went back to the drawing board and redesigned the site to accommodate Union Pacific with the rail spur running along the west and north property lines. This process reduced the size of the project to 2.2 million leasable square feet.
An attractive and unsolicited offer
Unbound’s Ogan said his goal was to always go through with the development plans, but Greystar came knocking and made an offer he couldn’t refuse.
“Since Unbound opened escrow on the 154 acres in December of 2020, the Mesa Gateway submarket has become one of the hottest industrial submarkets in the country in terms of user demand and developers trying to acquire land sites for industrial development,” Ogan said in a statement. “Unbound’s intention was to develop the site, but unsolicited offers to buy it during the entitlement process were abundant and attractive.”
Greystar paid Unbound more than $43.7 million for the site and is expected to execute Unbound’s development plans.
Unbound’s development team — consisting of general contractor Derek Builders and Deutsch Architecture Group and Hunter Engineering — will stay on the project. Unbound had already secured building materials contracts and Greystar has agreed to further compensate Unbound for signing over those contracts to Greystar, Ogan said.
Earlier this month, Mesa City Council gave the Unbound Gateway approval on zoning changes and Greystar could start construction in April. The project is expected to be finished during the first quarter of 2023."
Greystar Real Estate Partners
HISTORY: Founded in 1993 by chairman and CEO Bob Faith, and headquartered in Charleston, South Carolina, Greystar has over 14,000 employees,[5] and 51 offices in the US, Europe, Latin America and Asia-Pacific region.
The company began operating in the UK in 2013.[6] In July 2017, Greystar announced it would acquire Monogram Residential Trust's 14,000-unit portfolio of 49 rental communities in ten states, for $3 billion.[7]
In June 2018, Greystar announced that it would acquire EdR, a manager of college housing communities in the US, for $4.6 billion.[8]
In 2019, the company was sued for violating consumer protection laws. In an Los Angeles County Superior Court filing, Greystar was charged with gathering extensive personal identifying information about its tenants without their knowledge or consent. At five Greystar-owned apartment buildings, the company collected information about its tenants' "character" and "general reputation."[9]
In 2022, Greystar operated in nine countries: China, France, Germany, Ireland, Mexico, the Netherlands, Spain, the United Kingdom, and the United States.[2]
Greystar was the largest apartment management company in the United States in 2021, with over 669,000 units of apartment infrastructure.[3] The firm's business model is alleged to be adding to Ireland's housing crisis.[4]
No comments:
Post a Comment