Grunow Memorial Medical Center is a historic 47,494-square-foot medical office building in Phoenix. (Photo courtesy of Avison Young)
Phoenix, AZ – Avison Young, the world’s fastest-growing commercial real estate services firm, announced today that it has negotiated the $4.9-million sale of Grunow Memorial Medical Center, a historic 47,494-square-foot medical office building in Phoenix.
Avison Young Principals Julie Johnson and Alexandra Loye, based in the company’s Phoenix office, brokered the sale. The seller was PacVentures, a real estate investment firm based in San Diego, CA and the buyer was Meridian, a full-service commercial real estate developer based in Northern California.
Located at 926 E. McDowell Road on the northwest corner of East McDowell Road and North 10th Street in central Phoenix, the two-story property is situated on 4.09 acres. It is directly across the street from Banner-University Medical Center Phoenix, the largest hospital in Arizona, and within a 10-mile radius of 27 hospitals and medical centers. Grunow Memorial Medical Center was 40 percent occupied at the close of escrow.
“This landmark building is one of the most noteworthy and unique medical office properties in the Phoenix market,” comments Johnson. “That factor, combined with its ideal location and value-add opportunity through lease up, made this a highly attractive asset to the investor.”
Avison Young has retained the lease listing and is currently negotiating new leases with several tenants.
Loye adds: “This marks Meridian’s first acquisition in the Arizona market. The company saw tremendous upside potential in the Grunow building. We look forward to seeing this beautiful building revitalized with new tenants.”
Originally built in 1931, the property underwent an extensive multi-million-dollar exterior and interior renovation in 2014. Grunow Memorial Medical Center features Spanish colonial revival-style architecture combined with a Churrigueresque stone exterior, main lobby with soaring ceilings and irreplaceable stonework, two interior-facing courtyards, ample parking, and other unique exterior and interior structural features. Designed by Arizona architect Lester Byron, the property is listed on both the National Register of Historic Places and the City of Phoenix Historical Property Register.
Avison Young is the world’s fastest-growing commercial real estate services firm. Headquartered in Toronto, Canada, Avison Young is a collaborative, global firm owned and operated by its principals. Founded in 1978, the company comprises 2,400 real estate professionals in 80 offices, providing value-added, client-centric investment sales, leasing, advisory, management, financing and mortgage placement services to owners and occupiers of office, retail, industrial, multi-family and hospitality properties.
Darcie Giacchetto
D.G. Communications, Inc.
949.278.6224
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