JLL Closes $79.35M Sale of Specialized Phoenix Industrial Portfolio to Morgan Stanley Real Estate Investing
JLL Capital Markets has closed the $79.35 million sale of a two-property specialized industrial portfolio in Metro Phoenix, with funds managed by Morgan Stanley Real Estate Investing acquiring the assets from Phoenix Rising Investments, LLC and an affiliate of Blue Vista Capital Management. The transaction was announced Aug. 10, 2026.
JLL represented the seller in the deal, which encompasses 277,073 square feet of mission-critical industrial space across two fully occupied facilities — AMPlify Chandler in Chandler, Arizona, and AMPlify Riverpoint in Phoenix. The combined portfolio traded at approximately $334 per square foot.
Portfolio Overview: Two Mission-Critical Facilities
AMPlify Chandler, located at 6505 W. Chandler Blvd. in Chandler, is a 196,764-square-foot industrial facility fully occupied by Honeywell Aerospace. Originally built in 1981, the property underwent a significant renovation in 2025 that included an approximately 40,000-square-foot expansion building designed specifically to meet Honeywell's operational requirements. A defining infrastructure feature of the asset is an on-site, fully owned, property-dedicated 50-megawatt substation, a level of electrical capacity that positions the facility as a heavy-infrastructure industrial asset capable of supporting advanced manufacturing operations. The property sits less than a mile from the Interstate 10 and Loop 202 interchange.
AMPlify Riverpoint, at 4025 S. 32nd St. in Phoenix, is an 80,309-square-foot aviation maintenance and training campus fully leased to the Aviation Institute of Maintenance. The property includes two aircraft hangars housing seven training aircraft, technical labs, a composite shop, and specialized industrial space. It carries prominent I-10 freeway frontage adjacent to the completed Broadway Curve Improvement Project and is situated near Phoenix Sky Harbor International Airport in a growing aviation and technical employment hub.
Seller and Buyer Background
Phoenix Rising Investments, LLC, founded in 2011, develops, leases, owns, and manages commercial properties in the greater Phoenix metropolitan area. The firm has acquired, redeveloped, or is in the process of developing eight projects covering 900,000 square feet to date. Blue Vista Capital Management, founded in 2002, sponsors niche-focused private fund and separate account strategies on behalf of institutional investors including public and private pension funds, endowments and foundations, sovereign wealth funds, insurance companies, and family offices. Blue Vista has invested $15.0 billion in total capitalized value since inception as of March 31, 2026.
Morgan Stanley Real Estate Investing is the global private real estate investment management business of Morgan Stanley. The firm employs value-add, opportunistic, and core/core-plus real estate investment strategies and currently manages $58 billion of gross real estate assets worldwide across 17 offices in the U.S., Europe, and Asia.
Michael Hsiung, co-founder of Phoenix Rising Investments, commented on the transaction: "Over the past seven years, we've transformed this facility into a state-of-the-art advanced manufacturing campus through strategic capital investment and close collaboration with Honeywell. With Honeywell's long-term lease commitment extending beyond 2030, we're confident this asset will continue to serve as a critical manufacturing hub under MSREI's stewardship."
JLL Team and Transaction Details
The JLL Capital Markets team representing the seller was led by Senior Managing Directors Ben Geelan and Carl Beardsley, Senior Director Greer Oliver, Associate Bryce Beecher, and Senior Analyst Gigi Martin. Local market expertise was provided by JLL's leasing team, led by Vice Chairman Steve Larsen, Managing Director Jason Moore, and Senior Managing Directors Patrick Harlan and Kyle Westfall.
Ben Geelan offered perspective on the broader market dynamics driving the transaction: "Phoenix is still in the early innings of a structural demand cycle that will reshape how capital evaluates industrial assets across the Southwest. Manufacturing tenants are making site selection decisions based on power availability and specialized configurations rather than just freeway access, and investors who recognize this transition early will benefit from long-term fundamentals that extend well beyond traditional distribution-focused underwriting."
Market Context: Industrial Bifurcation in the Sun Belt
The transaction reflects a broader shift in how institutional capital is approaching industrial real estate. Rather than underwriting generic warehouse and distribution assets, buyers are increasingly targeting power-intensive, mission-critical facilities tied to manufacturing, aerospace, and aviation uses. The 50-megawatt substation at AMPlify Chandler represents the kind of infrastructure that is difficult and expensive to replicate, a characteristic that tends to support long-term occupancy and investor interest in supply-constrained infill markets.
Honeywell Aerospace's lease commitment extending beyond 2030 provides Morgan Stanley Real Estate Investing with a long income stream and reduces near-term rollover risk. The Phoenix market's combination of regional distribution access and growing manufacturing demand has made it a target for industrial investors, with the most sought-after assets now distinguished by utility capacity, specialized improvements, and tenant-specific configurations.
JLL (NYSE: JLL) is a global commercial real estate services and investment management company with annual revenue of $26.1 billion, operations in over 80 countries, and a global workforce of more than 112,000 as of June 30, 2026. JLL's Capital Markets group includes more than 3,000 specialists worldwide with offices in nearly 50 countries.