Typical August slowdown sidetracks home sales recovery

REAL ESTATE & CONSTRUCTION: New Wildflower to open Sept. 22

By Joe Pangburn, Inside Tucson Business
Published on Friday, September 11, 2009

While eyes continue to seek out signs of a rebound in the residential real estate markets, the Tucson market saw its typical August slowdown, according to the latest data from the Tucson Association of Realtors Multiple Listing Service.

Only three times in the last 14 years have there been higher sales in August than in July. This year was not one of those. Two of the three times they were up were in the economic boom years of 2005 and 2006, and the other was in 2000.

But August marked the first time this year that housing sales didn’t see a month-to-month increase.

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There were 980 home sales that closed in August, down 17 percent from 1,184 in July. But they were up 6 percent over the 923 homes that were sold in August 2008.

Pending sales were up nearly 4 percent to 1,274 in August, compared to 1,227 in July. They are up more than 45 percent from August 2008. In fact this August’s number of pending home sales is the highest since there were 1,961 in August 2005.

The median home price dropped more than 3 percent to $162,595 from $167,830 in July.

Inventory continued to go down, but it was by less than percentage point to 6,062. New listings were down 2 percent.

Another positive indicator is that the average number of days a home was on the market, dropped to 71 in August, from 80 in July. The last time it was as low as 71 was in November 2007.

Wildflower makeover

The first in what became Sam Fox’s chain of 28 restaurants is getting a $500,000 makeover.

Wildflower – New American Cuisine, 7037 N. Oracle Road in Casas Adobes Plaza is due to reopen Sept. 22 with new furniture, tables, plate ware, glasses, menu, uniforms and even a redesigned logo. The restaurant has been closed since Sept. 7.

“There is not one thing staying in here by the time we’re done,” said president and CEO Fox. “As the original Fox Restaurant Concept, Wildflower continues to set the standard for innovative dining in a relaxed, modern atmosphere.”

The bar area, too, will be redone, featuring Sub-Zero wine units for sommelier Regan Jasper’s selections. The bar will feature gray-washed wood front panels and white shelving units, resembling an antique bookcase. The exhibition kitchen area will be framed in decorative steel, with the walls tiled in a white subway tile.

Despite the changes not all of the restaurant’s menu items are going away.

Fox opened Wildflower in 1998. Fox Restaurant Concepts, now headquartered in Scottsdale, has grown to 12 different concepts operating in Arizona, Colorado, Texas and Kansas. The chain’s other restaurants in Tucson are NoRTH Modern Italian, Montana Avenue Modern American, Blanco Tacos+Tequila, Zinburger and three Sauce pizza and wine locations.

Tango’s new HQ

Tango International Inc. purchased a 3,330 square-foot two-story building at 406 S. Fourth Ave. for its world headquarters. Its current office is at 116 W. Cushing St.

The purchase price was $575,000.

Tango — which comes from Technical Assistance to Non-Governmental Organizations — is dedicated to providing long-term institutional support to organizations engaged with the on-going struggle to alleviate hunger, poverty and natural disaster emergency assistance.

Its clients include CARE, Catholic Relief Services, Save the Children, World Vision. They work in 40 countries around the world. Tango helps the organizations develop long-term strategies for developing countries aimed at disaster recovery from events such as drought, floods, tsunami and poverty.  

Chuck Corriere and Clint Nelson of Long Realty Commercial represented Tango. Kristy Kelly and Susie Deconcini of Long Realty Company represented the sellers.

J.R. Tuttle sold 

The general contracting firm of J.R. Tuttle Co. has been acquired by Mark Brownell, who is now the president.

Brownell, who has worked for the company for 12 years, purchased it from the estate of the late James Tuttle and Allison Lombard, the company’s founders. The company has 18 employees and offices at 585 S. Cherry Ave. Its construction projects in Tucson have included the Chinese Cultural Center, 1288 W. River Road, and several aircraft hangers for Bombardier Aerospace at Tucson International Airport.

Habitat home sponsor

The Long Realty Cares Foundation joined the Tucson Association of Realtors in sponsoring the Habitat for Humanity home for 2009.

Susan Barry, president of the Long Realty Cares Foundation Board, sees this as an opportunity to encourage other real estate companies to participate. “As Realtors, Habitat for Humanity’s mission of providing safe, decent, and affordable homes for families has always been close to our hearts.”

Construction on the home began Sept. 11 and is scheduled to be finished and dedicated to the family spring 2010.

Sales and leases

McFadden/Gavender Advertising Inc. leased 4,353 square feet in McMahon Plaza, at the southwest corner of Swan and Fort Lowell roads, from McMahon Properties LLC. The firm will expand from 1,809 square feet when it completes the relocation in November. Buzz Isaacson and Ike Isaacson of CB Richard Ellis represented the landlord. Brandon Rodgers of CB Richard Ellis represented the tenant.

Brand Source LLC leased 2,400 square feet of space at the Shoppes at Orange Grove, at the southeast corner of Orange Grove and River roads, from Orange Grove Center LLC. The company plans to open a retail consumer electronic store in the space. Debbie Heslop with Volk Company handled the transaction.

Agility Spine & Sport Physical Therapy leased 2,400 square feet of space within Rancho Sahuarita Marketplace, at the northeast corner of Interstate 19 and Sahuarita Road, from Rancho Sahuarita Commercial Ventures LLC.  This will be Agility’s second location in the Tucson market. Aaron LaPrise and Brian Harpel, with the Harpel Company Inc., represented the landlord. 

AKDHC LLC expanded by leasing an additional 1,806 square feet at 6602 E. Carondelet Drive from R. Wayne and Danna Lynn Wood Trust. Rick Kleiner with Picor Commercial Real Estate Services handled the transaction.

• The John P. Bell Family Foundation leased 1,395 square feet at 5647 E. Grant Road from Grant Road Group LLC. Rick Kleiner with Picor Commercial Real Estate Services handled the transaction.

• Goodwill Industries subleased 1,200 square feet at La Cholla Plaza, at the northwest corner of Orange Grove Road and La Cholla Boulevard, from Dominos Pizza. Debbie Heslop with Volk Company represented the sub-lessor. David Blanchette of Bourn Partners represented the sub-lessee.

• Dry Heat Promotional Products leased 1,200 square feet of space at Marana Marketplace, on the southeast corner of Orange Grove and Thornydale roads, from Larsen Baker. Dry Heat specializes in custom decorated apparel and promotional products. It plans to open at the new location in November. Andy Seleznov with Larsen Baker represented the landlord.  Mark Hays and Mo Brady of Tierra Antigua Realty represented the tenant.

• Rita Ranch Foot Reflexology leased 960 square feet of retail space in the Shoppes at Rita Ranch, at the northwest corner of Rita and Houghton roads, from Rita & Houghton LLC. Aaron LaPrise and Brian Harpel, with the Harpel Company Inc., handled the transaction.

• KBella & Company leased 925 square feet at 5643 E. Grant Road from Grant Road Group LLC. Rick Kleiner with Picor Commercial Real Estate Services represented the landlord.

• C&S Communities LLC leased 789 square feet at 3444 N. Country Club, Suite 113, for its new location from 3438-3444 CC LLC. Thomas J. Nieman with Picor Commercial Real Estate Services handled the transaction.

E-mail items for this column to jpangburn@azbiz.com. Real Estate and Construction appears weekly.
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