Lender moves to foreclose on office building at ASU Research Park

Article originally posted on Phoenix Business Journal on September 14, 2026

An office property at a prominent East Valley research and technology park is scheduled for an auction sale in December.

An entity connected to Rialto Capital Management has scheduled a foreclosure sale for River Corporate Center, a 133,225-square-foot office building at 8075 S. River Parkway, according to Maricopa County records. The building is located within the tech-focused, 2.2 million-square-foot ASU Research Park in Tempe — home to major tenants such as publicly traded electronics giant Avnet Inc., which has moved its global headquarters to the campus.

Tempe Building LLC, an entity affiliated with Oaktree Capital Management, obtained a ground lease for the building in 2015. The deal was financed in part by a $17.2 million mortgage by UBS AG, which then sold the debt to a commercial mortgage-backed securities trust arranged in 2015 by a subsidiary of Deutsche Bank Securities Inc., according to a loan servicer report viewed by the Business Journal.

The loan’s remaining balance was $13.8 million when it ballooned to maturity in May 2025, according to servicer reports. Rialto Capital, the loan’s special servicer as of August, has categorized the debt as “non-performing” and documented roughly $1 million in draws on cash reserves to cover the property’s operating expenses over the past 16 months.

The public auction is scheduled for Dec. 2 at 11:30 a.m., at the Maricopa Superior Court Building at 201 W. Jefferson St. in Phoenix.

Oaktree and Rialto could not be reached for comment for this story.

The scheduled foreclosure sale comes as Tempe Building LLC has been behind on loan payments since March 2025, according to loan servicer documents. A court-appointed receiver was installed to manage the property in August 2025, Maricopa County records show.

The two-story property was built in 1998 and offers 775 workstations, 15 conference rooms, 32 huddle rooms, 31 phone rooms, as well as four break rooms and a wellness room, according to a brochure released by real estate firm Transwestern, which has been hired to market the property.

The building was leased by a major tenant for more than a decade, records show.

US Foods, one of the largest food distributors in the nation, in 2011 signed a 12-year lease for the site. The loan servicer report shows the company maintained a lease and was the sole tenant at 8075 S River Parkway until Feb. 2025. Loan servicer reports indicate the property was 100% occupied during US Foods’ tenancy, but that the building was completely vacant as recently as September 2025.

The building generated between $2.3 million and $3 million of revenue annually between 2015 and 2024, loan servicer reports indicate. The property’s debt service is just shy of $1 million annually.

The property was valued at $24.8 million in 2015, when Tempe Building LLC purchased the ground lease. A fresh appraisal in January 2026 shows the property valued at $8 million, a decline of 68%,the loan servicer report shows.

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