Ascentris and Cypress Acquire Class A Office Tower in Tempe, Arizona
Denver, CO (December 30, 2020) – Ascentris, a Denver-based real estate private equity firm, announced the purchase of 777 Tower at Novus, a six-story Class A office building totaling 161,000 square feet located in Tempe, AZ. The official sale closed on December 24th.
777 Tower at Novus was constructed in 2020 and is currently 83% leased to Arizona State University and IT services and consulting firm Infosys Limited. It is the first office building to be delivered in the Novus Innovation Corridor, a 355-acre planned mixed-use, public-private development between Arizona State University and Catellus. At full buildout, the Novus Innovation Corridor will be a mixed-use district consisting of 11 million square feet of office, residences, hotel, and retail within a live-work-play, master-planned neighborhood framework that includes pedestrian thoroughfares, street-level retail, and outdoor gathering space.
The property’s central location in North Tempe allows easy access to primary employment bases, including Downtown Phoenix, Scottsdale, Chandler, Mesa, and Gilbert. Its proximity to Arizona State University’s primary campus (53,000 students) and inclusion within the Novus Innovation Corridor allows businesses to foster academic-corporate partnerships through access to the University’s world-class faculty, student talent, and research and development programs.
Ascentris acquired 777 Tower at Novus in partnership with San Diego-based Cypress Office Properties, LLC (“Cypress”); the partnership will implement new marketing initiatives and lease the remaining 28K sf top-floor vacancy. This transaction marks the second office acquisition between Ascentris and Cypress after acquiring Summit V in Aliso Viejo, Orange County, California in March 2020.
“777 Tower at Novus complements Ascentris’ current investment strategy of targeting high-quality, well-located office buildings within specific growth corridors across the United States,” said Jeffrey Stonger, Managing Director of Ascentris. “We are excited to establish a long-term partnership with Arizona State University and together capitalize on its industry-leading public-private development of the Novus Innovation Corridor.”
“We are pleased to be partnering with Ascentris in the acquisition of 777 Tower,” said Mark Wayne, Principal with Cypress. “The strong in-place tenancy and the location of the property within the Novus Innovation Corridor presented an attractive investment profile for both Ascentris and Cypress.”
Ascentris is a real estate private equity firm based in Denver, Colorado. With over $2.1 billion in assets under management, Ascentris manages a series of fully discretionary institutional vehicles targeting both core and value-add investments across the major property types and geographic regions within the United States. Since 2003, Ascentris’ management team has relied on an investment philosophy and organizational structure that results in its investors getting to opportunities ahead of the market while receiving an unmatched level of service, transparency and accountability. Ascentris is a privately held and management-owned SEC registered investment adviser that maintains an unwavering commitment to put its investors’ needs first. Additional information is available at www.ascentris.com.
About Cypress Office Properties, LLC
Cypress Office Properties, LLC is a San Diego-based real estate investment and operating company that specializes in acquisitions of value-add, redevelopment, and core plus office properties in key markets within the Southwest United States. The company’s primary geographic focus is in Southern California, Phoenix, and Denver, where there is tremendous upside potential. Since its founding in 2009, Cypress has become a qualified and proven investor within these markets – well positioned to identify, purchase and operate office properties that meet its strategic investment criteria. Today, the Cypress portfolio consists of sixteen office projects totaling 3.3 million square feet. For more information, please visit www.CypressOffice.com.