The property at 2942 N. 7th Avenue represents one of ESM Investments’ most ambitious value adds, and one of our most resounding successes. Prior to ESM Investments’ acquisition of the property, the lot on 7th Avenue was home to a vacant thrift store.
Though the property was derelict and empty when we took ownership, we had seen its potential due to its excellent location just north of downtown Phoenix, a couple of blocks from Phoenix College. The opportunity to develop a sought-after medical office complex was quickly apparent due to the proximity of Saint Joseph’s Hospital and Medical Center just across 7th Avenue.
Completed in 2012, the property at 2942 N. 7th Avenue is now a state-of-the-art, multiple-tenant medical office building. The building’s two medical offices are 100 percent leased, and the market for renters is incredibly strong due to the building’s excellent location and facilities. The medical office is a terrific opportunity for qualified investors to purchase a value-added commercial property with a guaranteed return on investment.
Demand for this property is driven by its premier in-fill location in a largely suburban area. Besides the adjacent hospital complex, other nearby commercial interests include restaurants, a private school, and law offices. New ownership has the opportunity to step in and continue to bolster the property’s excellent momentum. With other redevelopment continuing throughout the surrounding area, the market is expected to continue to rise. This trend, in conjunction with the value in the property’s location, will drive increasing rents and continuous demand from medical tenants.
