Sierra Ridge Pays $31M for Phoenix Warehouse

Newmark arranged the $31 million sale of 3137 East Elwood Street, a 123,032-square-foot industrial building situated on approximately 9.8 acres in Phoenix’s Southbank Business Park, to Sierra Ridge Capital. The property was fully leased to three tenants at closing. 

Newmark’s Gary Cornish and Nico Burgarello, in collaboration with Barry Gabel, CJ Osbrink and Chris Marchildon, led the assignment on behalf of Sierra Ridge Capital. 

The transaction marks the culmination of a full-cycle assignment for the Newmark team, which originally sold the property to the current seller in 2024. During the approximately two-year hold period, ownership completed a significant office-to-industrial conversion and capital improvement program, transforming the asset into a highly functional industrial facility. Newmark subsequently leased the building to full occupancy before facilitating its sale on behalf of the same client. 

“This sale is a great example of what a well-executed office-to-industrial conversion can deliver,” said Cornish. “We had the privilege of selling this building to our client in 2024, and in roughly two years they transformed it into a fully leased, highly functional industrial asset. Sierra Ridge Capital recognized how rare it is to find 100% HVAC space with heavy power, secured yard space and heavy industrial zoning in a central infill location with immediate freeway access.” 

“3137 East Elwood is exactly what we are focused on acquiring at Sierra Ridge Capital: a highly functional industrial building in a central infill location where developable land is scarce,” said Nick Angelich, Co-Managing Partner at Sierra Ridge Capital. “Its power, gated yard and full HVAC meet the needs of traditional distribution, contractor and service users, as well as the advanced manufacturing and technology companies reshaping Phoenix’s economy. We appreciate Gary and the Newmark team for delivering a clean, off-market execution, and we are excited to continue growing our presence in Greater Phoenix.” 

Press Contact: Alexa Nestlerode t 949-608-2170 alexa.nestlerode@nmrk.com Deb Bergman t 303-260-4307 deb.bergman@nmrk.com 

The acquisition marks Sierra Ridge Capital’s first investment in Arizona, and the firm is actively pursuing additional opportunities throughout Greater Phoenix. The property’s central location, extensive improvements, secured yard space, heavy power capacity, and full HVAC coverage aligned with Sierra Ridge’s strategy of acquiring functional industrial assets in supply-constrained markets. 

Built in 1995 and renovated in 2026, the property features approximately 22-foot clear heights, 10 oversized grade-level loading doors and one truckwell. Located within Southbank Business Park, minutes from Phoenix Sky Harbor International Airport, and directly adjacent to Interstate 10 and near Interstate 17 and State Route 143, the asset provides strategic access to the Greater Phoenix region.

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