Arizona investor gets bargain on Tempe office building, aims to attract tech companies

Article originally posted on Phoenix Business Journal on August 22, 2025

Another prominent Valley office building has traded hands.

Arizona real estate investor David McHenry has closed on the purchase of a two-story property at 8700 S. Price Road for $7.26 million, according to an Aug. 20 announcement. The 132,000-square-foot building, which was once home to Arizona tech giant Avnet Inc., is located within the tech-focused, 2.2 million-square-foot ASU Research Park in Tempe.

The Tempe building was sold by LNR Partners, the special servicer that took over the property through an assignment in lieu of foreclosure after it fell into default. The property is currently 100% vacant, as a building lease originally signed by Avnet expired in 2024, according to loan servicer reports.

The acquisition marks the latest in a string of high-profile office transactions in the Phoenix metro. Southwest Value Partners last week acquired a multibuilding office portfolio in a blockbuster $296 million deal that includes 1.53 million square feet of office space. Also this summer, the former downtown Phoenix headquarters of mining giant Freeport-McMoRan Inc. was placed on the market and California apparel business Kellwood Company LLC scooped up the 256,682-square-foot Monroe building downtown for its new headquarters.

Cushman & Wakefield’s Eric Wichterman, Chris Toci and Mike Coover represented the seller of 8700 S. Price Road, while Jack Stein of Patriot Commercial Properties represented the buyer. CBRE’s leasing advisory team of Charles Miscio and Luke Walker assisted with the transaction.

Find Complete Article Here: https://www.bizjournals.com/phoenix/news/2025/08/21/former-avnet-building-sells-in-tempe.html?cx_testId=40&cx_testVariant=cx_9&cx_artPos=2#cxrecs_s