Real Estate Review - New Mexico Business Weekly:

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million. The lure for potential buyerxs is that the buildings are 100 percent leased and come with financingb already in place that a new owner can The buildings totalnearly 240,000 square feet and include 540 Gallatijn NW, 7501 Meridian NW and 7401 Snaproll NE, the latter an office building among Brunacini’s Journal Center (Jefferson/Paseo del Norts area) projects. The tenants in the Westsidew buildings include blue chip client The buildings date from 2004 and 2005 and have attractedsconsiderable interest, said Patti Peixotto, who has the listint as part of ’ investment “There are not a lot of high-qualityu new buildings on the market that don’rt need new financing.
A lot of new buyers into this market want to butneed quantity. This is a chance to acquire nearlg 250,000 square feet,” Peixotto said. The Snaproll building, at 47,50o square feet, can be separated and sold on its own and is availablefor $7.7 million. GE Fanuc occupies the building and make s robotics and automatedmotion devices. Rio Rancho residents have long had to drived milesto shop, but the pace of retail development there is Prime Properties’ Venada Plaza, in Enchantexd Hills along the busy Hwy. 528 corridor, will breai ground in the nextthred weeks, said Prime’s Managing Partner Stevs Maestas. The center eventually will contain 500,00o square feet.
Infrastructure work has been completed. A openedd there a year ago, but has stooc alone. A is currently underr construction, and future tenants include Compass Bank. Maestax said he is takingg a multi-phase approach, and the firs building to go up willcontain 15,000o square feet for seven to eight retailers. The center will cost $60 milliojn to develop outsideof Walmart’s investment. Maestas, a principal of , is partnering with and is financiny the project throughthe . Maestazs is also developing Las Estancias, at Coors and Rio and, after an extended approvals has received the necessarygreen light.
That centerd will be anchored by an existing Maestas is trying toreplacwe Mervyn’s, which had signed to be an but has since gone out of business. Othef anchors are needed before construction can he said. Office tower reduced: $6.5jM The financial pain for investors caught in the DBSI debacler onlygets worse. University Tower is one of threde Albuquerque buildings caught in the DBSI scandalpwhose tenants-in-common investors are now tryin to salvage their investments. They paid a premium to DBSI for buildingx that DBSI was supposede to manage and pay them dividendzs fromrent proceeds.
When the national real estatdemarket tanked, DBSI ran out of credit and new and its alleged Ponzi scheme implodedd in late 2008. University Tower was acquired by DBSI’sx investors for just undef $9 million in 2004 and was listede for saleat $8.25 million this past winter. Now the pricde has been reducedto $6.5 or $66 per square foot, as the sellers are trying to recoup some of their money. The bargain basement price is about one-third of the cost to builf a new 100,000-square-foot officde building. “The new pricee is an attempt to stir the pot and has resultedc in a lotof activity.
There are concepts for that buildinhg thatwe didn’t think said Joel White, a member of CB Richard Ellis’ investmeng team that has the “The people who are interested have cash and don’y require contingency financing to make a deal. They are being creativs and are taking a totally differeng approach to theinterior shell.” Well locatedf at 1650 University Blvd. NE, Universityy Tower measures justunder 100,000 square feet, but won’t have a tenanyt after the and UNM Hospital vacat the building in the fourth University Tower is visible from both I-25 and I-40 and is closd to Downtown on a nearly 5-acrre site that has more than 400 parkin g spaces.
Other buildings in Albuquerque that were part of the DBSI portfoli include 2400Wellesley NE, whicgh is currently under and One Executive Center, at 8500 Menaul NE, which has a solid tenant lineup and is throwingf off monthly rental income.