Cole Office & Industrial REIT (CCIT II), Inc. reported this week that it has acquired the Freeport McMoRan property in Phoenix, AZ for $110 million.
The property is comprised of 8 1/2 floors of a 26-story office building with 249,012 square feet that is 99 percent leased to Freeport Minerals Corp.
The property’s expected average yield of 8.11 percent is calculated as the average annual rental income, adjusted for rent concessions or abatements, if any, for the in-place lease, over the non-cancelable lease term at the property divided by the property’s purchase price, plus the cost of significant capital improvements expected to be incurred over the non-cancelable lease term.
The Freeport-McMoRan Center in Phoenix, a 26-story mixed-use building that serves as the corporate headquarters of Freeport-McMoRan, is also home to The Westin Phoenix Downtown hotel and Province restaurant, according to the property website. In 2010, the building was named one of the best tall buildings of the Americas by the Council on Tall Buildings and Urban Habitat.
The website also says the property is owned by affiliates of Central Park East Associates LLC.
Freeport-McMoRan Copper & Gold, Inc. is the world’s largest publicly traded copper mining company.