December 07, 2017
Tempe, Ariz. – Transwestern Investment Group (TIG®) today announces Corporate Properties Trust III LP, a partnership between TIG and JDM Partners LLC, has closed on the acquisition of a 2 million-square-foot Tempe property in a sale-leaseback with State Farm Automobile Insurance Co. This transaction resembles the acquisition of the 2.2 million-square-foot State Farm campus in Dallas’ CityLine project last fall and the 591,000-square-foot State Farm campus in Atlanta this summer.
“We are pleased to continue our longstanding relationship with State Farm and complete a third sale-leaseback transaction with them,” said Charles Hazen, President of Transwestern Investment Group. “We have enjoyed working with JDM as a new equity partner and look forward to continuing to build our relationship with future transactions.”
The partnership acquired Marina Heights, a five-building, LEED®-certified office campus spanning 20 acres with ground-floor retail, restaurants and other amenities at 300 – 600 Rio Salado Parkway. The Class A+ asset is strategically located between Arizona State University and Tempe Town Lake, providing convenient access to Loop 202 and proximity to Phoenix Sky International Airport. Additionally, Marina Heights will be a future stop for the Tempe Streetcar, directly connecting the campus to the airport, downtown and central Phoenix, as well as west Mesa via the Valley Metro Light Rail.
“Marina Heights is a world-class project to add to our portfolio,” said Collin Comer, Senior Managing Director at Transwestern Investment Group. “We believe the ownership structure benefits all parties in the transaction, with steady cash flows generated from the long-term lease with State Farm and stable, long-term ownership and management for the tenants.”
The investments will be managed by a wholly owned subsidiary of TIG. Transwestern will provide management services for all three properties in the transaction series.
“We are honored to partner with Transwestern to own the iconic Marina Heights property in Tempe, Arizona,” said Mel Shultz, CEO of JDM Partners. “Also, our investors, along with a prominent Arizona family office, look forward to the continuance of the JDM – State Farm relationship across the United States.”
In the Marina Heights transaction, the legal adviser was King & Spalding and Eastdil Secured was the debt capital adviser.
ABOUT TRANSWESTERN INVESTMENT GROUP
Transwestern Investment Group (TIG®) is an investment adviser serving a broad range of investors through a diversified array of discretionary and non-discretionary investment vehicles. Our client-focused, relationship-driven approach ensures our priorities are our clients' investment objectives. With $4.31 billion of assets under management, trust, integrity and transparency are the cornerstones of our business. TIG provides tactical investment management with an integrated operating platform through the Transwestern family of companies, which includes a diversified real estate services firm with 35 U.S. offices and a development company. For more information, visit transwesterninvest.com.
This document does not constitute an offer, solicitation or recommendation to sell or an offer to buy any securities, investment products or investment advisory services. Any offer or solicitation will be made only pursuant to a confidential private placement memorandum and subscription documents (the “Offering Materials”) and will be subject to the terms and conditions contained in such Offering Materials.
ABOUT JDM PARTNERS LLC
JDM Partners LLC (“JDM”) consists of the principals JerryColangelo, David Eaton and Mel Shultz. Together, they have over 100 years of real estate, sports and entertainment development and operational experience. The JDM principals have long-standing relationships with virtually all Arizona state and local municipalities, leading them to specialize in public and private partnerships as well as institutional partnerships. JDM manages several real estate funds, with assets under management of approximately $1.2 billion.