CBC Advisors (“Exclusive Broker”) and Faris Lee Investments (“Investment Advisor”) are pleased to offer for sale the leasehold interest in The Marketplace (the “Property”), 268,022-square-foot dominant community center in a highly growing area of Flagstaff. The center features a mix of industry leading daily-needs, home improvement and discount retailers including Home Depot, Petco, Cost Plus World Market, Best Buy, Marshall’s, Bealls, Tuesday Morning and Old Navy. About 85% of these tenants have been in the center for 10 years, demonstrating retailer commitment and strength of the trade area. Besides the existing center, there are also three (3) developable outparcels included in the offering, which provides value-add opportunity. From a tax perspective, the favorable long-term ground lease with the state of Arizona allows the investor 100% depreciation on the investment.
Flagstaff, AZ features a highly educated population (45% have Bachelor degrees or higher); strong forecasted job growth (39% over the next 10 years); strong science and technology industries; new high-density residential developments; and an exceptionally robust tourism industry with over 4.6 million annual visitors to attractions such as nearby Grand Canyon, Snowbowl ski resort and Lowell Observatory. The subject property is located in the most dynamic submarket of Flagstaff, close to the relocated Harkins Theater (only movie theater in city), Flagstaff Regional Mall (undergoing redevelopment with new institutional ownership), new Hampton Inn/Fairfield Hotel and the Flagstaff auto center, including soon-to-be opened Mercedes-Benz dealership. With all these nearby developments, The Marketplace is ideally positioned to benefit from new destination traffic, cross-traffic and tourism in this growing retail corridor.
