Scottsdale retail center sold for $27.4 million

Scottsdale retail center Northsight Crossing has been sold by local real estate firm Caliber. The property was purchased in January 2022 by Northsight Crossing AZ, a Caliber co-sponsored single asset syndication, for $21.1 million and was sold this month to Hunt Retail Investments, a local investment group, for $27.4 million, according to a press release.

After fees and other expenses, the sale generated an internal rate of return of approximately 22 percent for investors.

Located at 14891 N. Northsight Boulevard in the Scottsdale Airpark, the property encompasses 9.25 acres and houses more than 112,000 square feet of retail space that is 98 percent occupied by national, regional, and local-branded businesses. Following the purchase of this retail center, Caliber and its partners completed tenant improvements and executed a number of new leases, resulting in a sale at a capitalization rate of 6.75%, according to the release.

“This asset sale is another example of the value that Caliber’s investment platform offers the market,” Chris Loeffler, CEO of Caliber, said in the release. “Utilizing a strong network of local partners like Platinum Advisors, Caliber identified this investment opportunity, executed on a favorable purchase price, and assisted in completing the lease-up and repositioning of the asset. We wish the new owner success with their future plans.”

Brokers on this deal were Cushman & Wakefield, Caliber Realty, and Platinum Advisors.