SWVP Adds to Chandler Holdings
November 25, 2011
A company formed by Southwest Value Partners in San Diego, California paid $4.415 million in a cash transaction to buy a 34-‐acre parcel located north of the Ocotillo community at the northwest corner of Dobson and Queen Creek roads in Chandler. The seller was Starpointe Metropointe Developments LLLP in Scottsdale. The parcel is now zoned for agricultural, but is targeted for employment use in the Chandler general plan. The property, purchased by SWVP Ocotillo Land LLC (the Southwest Value Partners entity), is located about two miles south of the 202 Loop. Justin Merritt of SVP says the company purchased the property for investment.
In January 2007, BREW reported Starpointe Metropointe paying $13.3 million to buy the parcel. At that time, Starpointe Metropointe planned to develop a residential-‐retail project on the property. Those plans never materialized because of the downturn in the economy. The Dobson and Queen Creek tract is located one-‐half-‐mile east of a 34-‐acre parcel owned by another company formed by Southwest Value Partners. Last month, BREW reported SVP paying $4.1 million to purchase a 37-‐acre parcel at the southwest corner of Price and Queen Creek roads in Chandler. That site is targeted for future development as a business park. Merritt says SVP will hold the property for investment, and look for build-‐to-‐suit opportunities and sell parcels to employment users. The site is suitable for about 500,000 sq. ft. of space. SVP is working with LGE Corp. in Phoenix to develop a site plan and pursue development deals on the site. Merritt says the land is ideal as a corporate campus. The company acquired both Chandler tracts with a $140 million equity fund that it is managing.
Over the years, BREW has reported companies formed by Southwest Value Partners buying numerous properties in the Valley. The company now controls more than 23,000 residential lots in the Greater Phoenix area. In August, BREW reported a joint venture formed by SVP paying $4.055 million ($36.19 per foot) to acquire a 112,060-‐square-‐foot office-‐retail project at the northwest corner of Elliot and Kyrene roads in Tempe. In April 2010, BREW reported companies formed by SVP paying $27.65+ million to buy 4,508 acres in a planned community in the Florence area of Pinal County called Merrill Ranch.