Southeast PHX Distribution Center Benefits from SE Valley Location

The Southeast Valley has collectively been the target of more corporate relocations than any other region of metro Phoenix. Newly constructed product such as Southeast Phoenix Distribution Center continues to meet demand and then some. Constructed in 2019, the property has features that accommodate a wide range of tenants.

The center is located in the Chandler submarket, one of the top warehouse markets within the greater Phoenix metro. The location is at the confluence of the Interstate 10 and Loop 202 freeways that traverse the Southeast Valley and provide access to labor pools throughout metro Phoenix. The property is 15 minutes from Sky Harbor International Airport and 20 minutes from downtown Phoenix.

This metro is one of LaSalle Research and Strategy’s Core Target Market Ranking recommended industrial overweight markets.

This four-building class-A distribution center totaling 474,000 square feet recently received $49 million in financing. JLL Income Property Trust provided the financing at a fixed interest rate of 2.7 percent for a term of seven years.

“Real estate debt continues to be available on favorable terms for institutional borrowers and stabilized assets,” said Allan Swaringen, president and CEO of JLL Income Property Trust. “The broader industrial sector proved to be resilient throughout the pandemic and is maintaining its position as one of the top-performing property sectors. Given the current low interest rate environment, along with the strong weighted average lease term of more than eight years for this property, now is an opportune time to lock in attractive long-term fixed rates.”