by Peter Madrid | Jun 5, 2018 | News & Updates
GILBERT, ARIZ. (June 5, 2018) – Earthworks Environmental LLC has experienced tremendous growth in 2018 with plans to expand its operations to more than 16 states from the Southwest to the Midwest to the Mid-Atlantic.
Services provided by the Gilbert-based firm include stormwater pollution prevention, Phase I and II Environmental Site Assessments, dust control, and construction safety compliances. The firm primarily serves land developers, vertical developers, commercial construction, and land-holding companies.
Cherie Koester
Earthworks Environmental Principal Cherie Koester said the expansion was fueled by the company formulating stormwater and environmental programs for national homebuilders that did not have them or who wanted a more well-rounded or refined program.
“It’s one of those things no one wants to deal with – like your taxes,” Koester said. “One of our specialties is taking an entity that doesn’t have a sufficient program and help our clients to ‘gently’ create a program that works for them. If we come in too strong there will be push back.”
Founded in 2014, Earthworks Environmental expanded its operations to Florida and added two employees at its Arizona office in late 2016. The office has since grown to 22 employees. Besides Arizona and Florida, its services are available in Texas, New Jersey, Delaware, Pennsylvania, Indiana, Illinois, and Minnesota. Several other northern states will be added later this year.
To brace for the growth, Koester promoted Travis Fern to director of compliance and Brendan Haugh to director of training and development. Recently, Earthworks Environmental hired Aaron Gordon as compliance manager in Arizona. His expertise is in Phase I and II ESAs.
“We hire locally and start training in Arizona with the core group,” Koester said. “Then we complete their training in their designated division. It is such an independent job. I have to trust them out there; they are an extension of me.”
A proprietary program that Earthworks Environmental employs – ERX – has also played a key role in the expansion, Koester said. ERX is an environmental reporting software program that puts all aspects of environmental compliance into one program. This includes any permits and inspections. Koester said nearly 75 percent of the violations in her industry occur in the paperwork process.
A client can hire Earthworks Environmental to handle the entire process including ERX. A client may also decide to opt out of the consulting and use ERX themselves. In that case, Earthworks Environmental will apply a nominal fee for use.
“We’ve created a great system,” Koester said. “We can do any project, any size, in any state. The homebuilders know we have created a good system. We always ask, ‘where else can we help you?’”
Koester said the next growth area will be the northern region of the U.S.
“We are set up for that now,” she said. “We’re still going through some growing pains, but our clients know we put them first. They tell me what they want and I tell them how we will make that happen and keep them in compliance.”
“Maybe I can even take a vacation. My employees would like that,” Koester said with a smile.
To learn more about Earthworks Environmental visit earthworksenv.com.
by Peter Madrid | Jun 5, 2018 | News & Updates
PHOENIX, ARIZ. (June 5, 2018) – Winslow + Partners, a locally-owned firm that offers expertise in architecture, planning, interior design, educational planning, and design thinking, continues to grow its team with the hiring of a senior project manager, a project manager, and a designer.
Joining Winslow + Partners are Keith Wong, Gilberto Rey, and Lisa Kehoe.
- Wong joins the firm as a senior project manager. He will provide project management for in-house projects from beginning of design to completion of construction. Wong will also be involved hands-on for each project to ensure the design of the project meets or exceeds the owner’s expectations.
Lisa Kehoe
Wong holds a Bachelor of Arts in architecture from the University of Washington and a Masters of Architecture from Arizona State University. He comes to Winslow + Partners after three years as senior project manager at CSHQA. He is a member of AIA Arizona and is LEED AP BD+C. Wong is a native of Seattle, Wash.
“When people join your firm, it’s exciting,” said Kali Mota, Associate AIA, partner. “It’s even more exciting to have people want to join you because they feel they can make a difference.”
Last September, Winslow + Partners hired a senior project manager and two designers.
by Peter Madrid | Jun 4, 2018 | News & Updates
PHOENIX, ARIZ. (June 4, 2018) – The Government Property Lease Excise Tax, more commonly known as the GPLET, will be the topic at the June AZCREW lunch. Leading the discussion will be attorney Grady Gammage Jr.
The GPLET was established by the state of Arizona and is a tool designed to initiate development by reducing a project’s operating costs by replacing the real property tax with an excise tax. Under the state statute, an excise tax is established for the building type of use and is calculated on the gross square footage of the building.
AZCREW, the leading organization for senior-level executive women in the Metro Phoenix real estate field, presents “What You Need to Know about Government Property Lease Excise Tax” June 19 at Phoenix Country Club, 2901 N. 7th St., in Phoenix.
Gammage is one of the founders of Gammage & Burnham. His practice has focused on the political aspects of real estate, development, and public policy. As a zoning attorney he has represented dozens of major commercial projects.
AZCREW’s June lunch begins with networking at 11:30 a.m. The program starts at noon. Early registration for members is $40 ($45 after June 8); non-member pre-registration is $65, $85 at the event. Lunch is included. Register here.
by Peter Madrid | May 30, 2018 | News & Updates
PHOENIX, ARIZONA (May 30, 2018) – The $10.755 million sale of a self-storage property in Buckeye and the $1.75 million sale of an industrial building in Mesa highlight recent transactions closed by NAI Horizon professionals.
Sale Transactions:
Denise Nunez negotiated the sale of a 109,855 SF self-storage property, representing both the buyer, Ross Family Trust/Barber Vallejo Properties and Barber Family Trust, and the seller, Store-All America RV & Self Storage, for $10.755 million. The property is located at 24901 W. Yuma Rd., Buckeye, AZ.
Mark Wilcke negotiated the sale of a 6,855 SF industrial property, representing both the buyer, 1426 W. Broadway Group, LLC, and the seller, Capps Rent-A-Car, for $1.75 million. The property is located at 1426 W. Broadway Rd., Mesa, AZ.
Matt Harper and Kevin Higgins negotiated the sale of a 6,382 SF medical office building, representing both the buyer, Anita Ramaiah and/or nominee, and the seller, Susan H. Lindstrom, Trustee of the Lindstrom Revocable Trust, for $1.35 million. The property is located at 7285 E. Earll Dr., Scottsdale, AZ.
Chris Gerow, Shelby Tworek, Gabe Ortega and Patrick Anthon negotiated the sale of a land property representing the buyer, 3915 Stock Hill, LLC, for $800,000. The property is located at 3915 N. Stockton Hill Rd., Kingman, AZ. Dwayne Patterson with RE/Max Prestige Properties represented the seller, Kerry Raymond.
Sharon Reeves negotiated the sale of a 2,700 SF retail property, representing the seller, GEOPEN, LLC, for $499,000. The property is located at 10824 N. 71st Place, Scottsdale, AZ 85254. Eric Butler with Kidder Mathews represented the buyer, Jaiveer Sandhu, LLC.
Mark Wilcke negotiated the sale of a 0.65-acre industrial property, representing the seller, Zanzach of Arizona. LLC, for $150,000. The property is located at 45 W. Olive Ave., Gilbert, AZ. Brook Miller with RE/MAX Solutions represented the buyer, Fen Investments Inc.
Lease Transactions:
Chris Gerow, Shelby Tworek, Gabe Ortega and Patrick Anthon represented the tenant, Zipps Sports Grill, in a 120-month retail lease at 10654 N. 32nd St., Phoenix, AZ.
Mark Wilcke represented the landlord, ICC Tempe, LLC, in a 60-month industrial lease at 2929 S. Fair Lane, Tempe, AZ.
Chris Gerow, Shelby Tworek, Gabe Ortega and Patrick Anthon represented the landlord, in a 120-month retail lease for 7,250 SF with Hubbard Swim School at 1981 N. Pebble Creek Parkway, Goodyear, AZ.
Chris Gerow, Shelby Tworek, Gabe Ortega and Patrick Anthon represented the landlord, in a 120-month retail lease for 2,388 SF with Music & Arts at 1981 N. Pebble Creek Parkway, Goodyear, AZ.
Tyler Smith and Troy Giammarco represented both the tenant, Stage Left Productions, Inc., and the landlord, Arizona Property Management, LLC, in a 60-month retail lease at 11310 W. Bell Rd., Surprise, AZ.
Bruce Hanley represented the tenant, The Addison Group, in a 26-month office lease at 2398 E. Camelback Rd., Phoenix, AZ. Phillip M. Breidenbach with Colliers represented the landlord, ViaWest Group.
Chris Gerow, Shelby Tworek, Gabe Ortega and Patrick Anthon represented the landlord, New Bell Tower, LLC, in a 60-month retail lease at 4926 W. Bell Rd., Phoenix, AZ. Mona Oshana with Southwest Property Sales & Leasing represented the tenant, UR Market, LLC.
Matt Harper represented the tenant, T&T Bakery, in a 65-month retail lease at 560 N. Estrella Parkway, Goodyear, AZ. Ryan Amato with Eisenberg Company represented the landlord, Eisenberg Canyon Trails Development II, LLC.
Chris Gerow, Shelby Tworek, Gabe Ortega and Patrick Anthon represented the tenant, Ken’s Nails, in a 72-month retail lease at 1635 E. Indian School Rd., Phoenix, AZ.
Mark Wilcke represented the landlord, Ann O. Richmond, LLC, in a 36-month industrial lease at 1720 E. Curry Rd., Tempe, AZ. Jim Kost with InTeam Realty, LLC represented the tenant, Recovery Solutions, Towing & Transport, LLC.
Chris Gerow, Shelby Tworek, Gabe Ortega and Patrick Anthon represented the landlord, New Bell Tower, LLC, in a 60-month retail lease at 4926 W. Bell Rd., Phoenix, AZ. Chuck Gibson with SRS represented the tenant, TruGrocer Federal Credit Union.
Troy Giammarco represented the tenant, Temple Arts, LLC, in a 60-month lease at 9635 W. Peoria Ave., Peoria, AZ. Allen Blanchard represented the landlord, D&C Holdings, LLC.
Chris Gerow, Shelby Tworek, Gabe Ortega and Patrick Anthon represented the tenant, Dream Swirls Frozen Yogurt, in a 60-month retail lease at 15557 W. Roosevelt St., Goodyear, AZ
Matt Harper represented the landlord, Grand Center Plaza, LLC, in a 60-month retail lease at 11001 N. 99th Ave., Peoria, AZ.
Matt Harper represented the landlord, Robert and Arlene Thatcher, in a 26-month retail lease at 4734 W. Glendale Ave., Glendale, AZ.
Matt Harper represented the landlord, Puchhi, Inc., in a 24-month retail lease at 9501 W. Peoria Ave., Peoria, AZ.
Rick Foss represented the landlord, Friedman Anthem, LLC, in a 60-month lease at 42302 N. Vision Way, Anthem, AZ.
Matt Harper represented the landlord, Robert and Arlene Thatcher, in a 38-month retail lease at 4740 W. Glendale Ave., Glendale, AZ. Charlotte Henderson with Berkshire Hathaway Arizona Properties represented the tenant, Kimberly S. Horton and Corey D. Horton as members of Purple Gurls, LLC.
Matt Harper represented the landlord, Grand Center Plaza, LLC, in a 12-month retail lease at 11001 N. 99th Ave., Peoria, AZ.
Matt Harper represented the landlord, Sayan 26 Investment Group, LLC, in a 12-month retail lease at 4323 W. Cactus Rd., Glendale, AZ.
by Peter Madrid | May 30, 2018 | News & Updates
PHOENIX, ARIZONA (May 30, 2018) – MEB Management Services, a provider of comprehensive multifamily management services throughout the Southwest, has named Barry Manuel as its new chief information officer.
A native of San Diego, Manuel will be responsible for strategic technology planning to accommodate business growth objectives for all of MEB’s companies. He joins MEB after 17 years at Shelton-Cook Real Estate Services.
Manuel earned a Master’s of Science degree in information management from Arizona State University. He is involved with the W.P. School of Business at ASU, the TechExecs Network, and Arizona Professional Networkers.
“We are very excited to welcome Barry to the MEB family,” said Jodi Sheahan, Founding Principal with MEB. “The utilization of technology in all areas of our company is critical when creating value for our clients, residents, and team members. Barry will play a significant role in driving the strategy of creating more value utilizing technology and leading the change management required.”
Manuel is married and has two teenage sons. He is an active outdoorsman and enjoys hiking, camping, and cycling. He volunteers at his church and also with the U.S. Forest Service.
by Peter Madrid | May 23, 2018 | News & Updates
SCOTTSDALE, ARIZONA (May 23, 2018) – Sigma Contracting, Inc., celebrating its 35th anniversary, converted a distribution center into a manufacturing facility for Katerra, a technology-driven offsite construction company.
The exterior of Katerra’s new facility at 624 N. 44th Ave., in Phoenix.
The $7.9 million project at 624 N. 44th Ave., in Phoenix consists of 200,000 SF of manufacturing area and 40,000 SF of office space for Katerra’s design team. The manufacturing side is a single story with 28-foot clear height. The office portion is two stories.
Katerra, headquartered in Menlo Park, California, manufactures large building components off-site, particularly for the multi-family industry. It can fabricate an entire wall (including windows) off-site for final assembly at a construction site. The technique allows for lower cost and higher-quality finishes.
“Katerra’s goal is to revolutionize design and construction by creating a platform that allows them to control the entire distribution process from concept to completion, including direct buying power from other manufacturers,” said Dan Hinkson, owner and president of Sigma Contracting. “This was the first manufacturing facility to be built for Katerra, and as such, the project continuously evolved as thought processes evolved and additional employees with new thoughts and perspectives were brought on board.”
The project converted a 30-year-old distribution center to a modern, state-of-the-art manufacturing facility. It is the first of six scheduled manufacturing plants that Katerra will operate. The Phoenix plant will produce fully-loaded wall panels, floor joists, roof joists, and has 10,000 SF dedicated to manufacturing cabinets and stone countertops.
The office houses Katerra’s engineering teams and component designers who work on the various designs that 
are integrated with the manufacturing equipment. In addition, the construction scope included a full-service kitchen facility that can prepare up to 500 meals a day for Katerra employees and guests. When construction was completed in late 2017, there were approximately 30 employees occupying the office portion. Today there are more than 100 staff members utilizing the office space and more than 100 working on the factory floor.
“With this rapid growth, everything about the processes and staff was new and untested,” Hinkson said. “Each new manager brought a slightly different vision as to how to best set up and run the new plant and the office space. In addition, the office, showrooms, kitchen, dining, and conference areas continued to change as demand changed due to the rapid growth in employment.
“Sigma was honored to have been on board to help bring this first factory to life for Katerra. We look forward to the innovative changes Katerra will inevitably bring to our industry,” Hinkson said.
Other team members on the project were Richard+Bauer Architecture, architect of record; and notable subcontractors Statewide Electric, Lifetime Plumbing, R&M Concrete, and J. Wolf Mechanical.
The $7.9 million project at 624 N. 44th Ave., in Phoenix consists of 200,000 SF of manufacturing area.
Katerra, headquartered in Menlo Park, California, manufactures large building components off-site, particularly for the multi-family industry.
by Peter Madrid | May 17, 2018 | News & Updates
PHOENIX, ARIZONA (May 17, 2018) – NAI Horizon represented the seller in the $3.23 million sale of an office building at 14780 W. Mountain View Blvd., in Surprise.
NAI Horizon Senior Vice President Tyler Smith, along with Marcus Muirhead of Lee & Associates, represented the seller, Surprise Mountain, LLC of Bellevue, Washington.
“The property is well designed for office or medical tenants,” Smith said. “It has abundant parking and is well located with the Banner Del Webb Medical Center in close proximity.”
Constructed in 1998, the 32,505-square-foot office building sits on 4.27 acres. It features 212 parking spaces. It is 82 percent occupied by tenants ranging from those in the medical industry to those in financial services. It is adjacent to the Del Webb community of Sun City Grand. It is located near Grand Avenue and the Loop 303 freeway.
The buyer, Development Services of America, Inc., of Scottsdale, Arizona, was represented by John Cerchiai of Lee & Associates.
by Peter Madrid | May 16, 2018 | News & Updates
PHOENIX, ARIZONA (May 16, 2018) – NAI Horizon Senior Vice President Jeff Adams represented the tenant in negotiating a long-term lease for a Gilbert-based distribution company at 2075 W. Obispo Ave., in Gilbert, Arizona.
NAI Horizon represented AES Direct Express, LLC, an Arizona limited liability company in the industrial lease worth $1.676 million. AES, an administrative, distribution, pick and ship, and logistics firm, will occupy 40,415 square feet of the building, which totals 110,975 SF.
“Working together in conjunction with the listing agent, we were able to identify and procure a unique potential growth opportunity in this present high-tenant demand market,” Adams said. “It afforded my client the ability to nearly double its space capacity while also providing a no-downtime, solid long-term lease solution for the landlord.”
The building is an attractive, two-user property with Papa John’s distribution occupying the balance of the space.
The landlord, LIT Industrial Limited Partnership (a Clarion company) of Dallas, Texas, was represented by Steve Sayre and Steve Larsen of JLL.
by Peter Madrid | May 10, 2018 | News & Updates
PHOENIX, ARIZONA (May 10, 2018) – The 2018 state legislative session that adjourned on May 4 was productive for Arizona’s commercial real estate industry as BOMA Greater Phoenix had a 5-0 record on bills on which it took a position.
The biggest joint victory for BOMA was a grand compromise on GPLET reform. A unanimous deal was struck between developers, cities, and tax watchdogs on the long-term retention of the 8-year property tax abatement and narrowing the application in the future to a capped landmass contained in a Central Business District (CBD) within a city.
HB2126 passed almost unanimously and was signed into law by Gov. Doug Ducey on April 17.
“BOMA provided lead testimony when this bill was heard in committee and participated in stakeholder negotiations led by Representative Vince Leach of Oro Valley throughout the fall and winter,” said Tim Lawless, Executive Director of BOMA Greater Phoenix. “The Arizona Multihousing Association, a key coalition partner with us, also played an instrumental role in advancing the compromise by proposing land mass percentage boundaries for a CBD rather than dwelling on subjective ‘slum’ and ‘blight’ definitions in the eyes of the beholder.”
Lawless said another victory for BOMA was on the education front with the passage of SB1390 which extended the soon-expiring .6 percent state sales tax rate for K-12 education (originally Prop 301 passed in 2000) in order to get more resources of every dollar expended into the classroom. That bill was signed into law on March 26.
“BOMA/CREED were the only two commercial real estate groups to register in favor of the legislation,” Lawless said. “The fact that BOMA played a constructive role in getting more state resources into K-12 gives our industry credibility to be at the negotiation table as calls to raise taxes next year will only get louder and we need this seat to protect our industry and keep our economy growing.”
The third major victory for BOMA was support for reform of the property tax appeals system which now prohibits a tax court from making a ruling where the property tax assessment for a home or business can exceed what the county assessor was originally seeking. HB2385 was signed into law with an emergency clause on March 23.
BOMA also had a major victory by amending the archaic prime contracting law for MRRA especially as it relates to the tax treatment of alterations and improvements. SB1409 was originally written to exclusively benefit the cities and general/subcontractors at the expense of commercial real estate owners as it would have raised taxes on owners $50 million per year.
“AMA and BOMA fought this tax increase windfall and we struck a fairer compromise where the changes in TPT tax law will either be revenue neutral or a slight tax cut for owners,” Lawless said. “At the same time, it provides clarity and more simple compliance on alterations/improvements for general and subcontractors.”
This bill was passed the last night of session by wide margins and awaits the governor’s signature.
BOMA also shared a victory with the AMA on the last night of session by successfully opposing a major tax break proposed for selected elderly homeowners who would have their property tax rates slashed in half (10 percent assessment ratio reduced to 5 percent) at the expense of businesses who would bear the cost shift implications.
“Not only was this potentially a violation of the state constitution’s ‘uniformity clause’ of taxation, it would have established a poor precedent,” Lawless said.
The bill, SB1268, died with 11 votes in favor and 45 opposed and is now a good litmus test for future tax shift bills.
“Property tax shifts are a major impediment to solving the main economic development challenge facing Arizona in growing high wage jobs,” Lawless said. “The primary coalition of BOMA/CREED/AMA/ATRA along with the Arizona Chamber, NAIOP and Valley Partnership on selected issues was a very effective team in looking out for the bottom line this past legislative session and should continue next session as well.”
by Peter Madrid | May 10, 2018 | News & Updates
Three teams compete in the finals of the 5th Annual ASU MRED event
PHOENIX, Ariz. (May 10, 2018) – It was one of the closest finishes in its history as three teams competed in the 5th Annual REIAC/Rockefeller Group Challenge held May 8 at Arizona Country Club.
Teams consisting of graduating students from Arizona State University’s W. P. Carey School of Business, Masters of Real Estate Development (MRED) program competed for cash prizes. Copperstate Development captured the top honor, garnering $1,000 each for team members Robby Leonard, Cody Wolfe, Josh Rodriguez, and Mohammed Almehaidib.
This year’s project was the 148-acre Arizona State University Thunderbird School of Global Management campus in Glendale. ASU is moving the school to its downtown Phoenix campus.
Copperstate’s winning entry, Thunderbird Fields, is a four-phase, master-planned development that features new and rental homes, adaptive re-use projects, single tenant retail, open space, medical offices, and respects the history of the former World War II airbase that opened in 1946.
“The biggest challenge was taking into account what the city really wanted compared to what the market was asking for,” Leonard said. “Going through the general plan and to be able to come up with uses for our product was a great experience.”
Copperstate’s four goals for the project are balanced housing types, conservation, rehabilitation, and redevelopment. Historical elements on the campus include Founders Hall, Hangar 1, and the old air traffic control tower.
“The greatest satisfaction was getting through the three-synthesis process and finally coming to a conclusion. You know what you’re looking for in the build-out process, marketing, and the pro formas. You really get to see how the development process works. We had a great team. Everyone contributed equally,” Leonard said.
The other finalists and their projects:
- Atlas Partners – Oasis Village at Thunderbird, a multi-generational village that also preserves the history of Founders Hall, Hangar 1, and the control tower. Atlas highlighted connectivity and walkability in a mixed-use community. It featured amenities seen at The Presidio in San Francisco and Agritopia in Gilbert.
- GP Development – The Landing at Thunderbird, a mixed-use development geared towards active and retired service members. Plans called for converting Hangar 1 into an incubator for veteran-owned businesses. It features single family and multi-family housing, senior living, medical offices, a specialty grocer, and a landing loop featuring a splash pad, pavilion, and dog park.
Each team was allotted 10 minutes to present a development solution followed by questions from the audience. Audience members chose the winning team immediately after the presentations.
Mark Stapp, director of the MRED program, said the challenge has made great strides in just 5 years.
“Two things get better every year,” Stapp said. “One is the support that comes from the REIAC membership and the Rockefeller Group because that’s how this becomes real in terms of the student experience and not just in theory. The student experience continues to improve as we develop an alumni base. As the program develops a reputation, we get better students every year.”
In addition to sponsoring the annual Challenge, REIAC Southwest awards two $2,500 scholarships to MRED students that have a financial need and want to pursue real estate careers in Arizona after they graduate.
