First McKinley Development Site Sells for $7M

Drapac Capital Partners ended its hold on First McKinley, a 1.7-acre site in downtown Phoenix. The buyer sold the property to First McKinley Owner LLC for $7 million, well above the $1.8 million it paid for the acreage in 2013.

The new owner will release development plans for the site at 802 N. 1st Ave., at the corner of 1st and McKinley Street, at a future time. Existing zoning is for mixed-use, high-rise development.

Justin Horwitz and Paul Borgesen III with SVN Desert Commercial Advisors represented Drapac Capital Partners in the sale. “There was a lot of irrational negativity when we bought the site, but it was clear how undervalued downtown Phoenix was,” Sebastian Drapac said.

“The city has rapidly urbanized and the demand for quality sites with the right ingredients has driven values, and we believe it’s only the start,” Drapac added.

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