Woodside Health has acquired Arrowhead Executive Center, an eight-building, 98,958-square-foot office property in Glendale, Ariz. The medical real estate investor paid $18.2 million for the asset, public records show. According to CommercialEdge information, the previous owner was Holualoa Cos., which had purchased the Class B property in 2016 for $11.7 million.
Arrowhead Executive Center marks Woodside Health’s 36th acquisition across the U.S. and fourth acquisition in Glendale in the last five years. Previous purchases in the Phoenix suburb include the 70,000-square-foot Arrowhead Creekside, the 70,000-square-foot Arrowhead Professional Center and four buildings totaling 52,000 square feet in Thunderbird Palms Medical Campus.
“This is our seventh property in the Phoenix area and we’re working on a few other projects in The Valley, including a new medical office development in North Phoenix,” Ben Barr, vice president of asset management at Woodside Health, told Commercial Property Executive. Anchored by a surgery center, the 60,000-square-foot project is taking shape alongside Interstate 17, near the North Gateway/Sonoran Foothills area.
Woodside Health has more acquisitions underway. The company is under contract to buy a medical office building in Northwestern Phoenix, as well as similar assets outside of San Antonio, further expanding its Texas portfolio.
Office campus up close
Situated on nearly 12 acres at 17235 N. 75th Ave., Arrowhead Executive Center comprises one-story buildings completed in phases between 1998 and 2002 and renovated in 2017, CommercialEdge shows. Property features also include 15,000 square feet of retail and a parking ratio of 4.4 spaces per 1,000 square feet.
The campus has both professional and medical office spaces, with 27 tenants on its roster and an occupancy rate of 84 percent at the time of sale. “We’ve had the privilege of meeting each of the tenants, and there’s a shared sense of optimism and excitement for the future,” Barr revealed. Going forward, the new owner intends to market the property more heavily towards the medical community, while also keeping the professional office users in place.
The property sits across from the 1.2 million-square-foot Arrowhead Towne Center, 8 miles from downtown Glendale and 17 miles from downtown Phoenix. The campus is also roughly 3 miles south of Banner Health Center plus, one of the metro’s top office developments as of March.