Commercial real estate developer SimonCRE purchases the +/-36,000 SF completely remodeled and refurbished “1917 OS Stapley Buildings” located in the up and coming Lower-Grand Avenue Business District in Downtown Phoenix. Emerging mattress startup Tuft & Needle will occupy the entirety of the buildings for their new Arizona headquarters, bringing the buildings to 100% occupancy at the time of closing.
The two-story, one-of-a-kind retail storefront and office buildings, known as the “1917 OS Stapley Buildings,” are located at 723-747 N. Grand Avenue in Phoenix, AZ. There is a second building adjacent to the “1917 OS Stapley Buildings,” which will be demolished and turned into additional parking to accommodate Tuft & Needle.
Tuft & Needle, a Phoenix-based startup, is the industry pioneer of developing the world’s first universally comfortable mattress that is sold directly online. The Tuft & Needle mattress is made with their newly invented foam, it’s conveniently compressed into a small box, and shipped free of charge to their customer’s door within 3 days or less from purchase. Every mattress comes with a 100-night sleep trial, free returns and a best in class 10-year warranty. The company started with a $6,000 investment in 2012 from co-founders John-Thomas Marino, 30, and Daehee Park, 27, and has grown into a company of 80 employees with sales in the tens of millions without raising any outside capital. The Tuft & Needle showroom is currently located at 605 East Grant Street, and will be moving its one-of-a-kind mattress retail experience to the Stapley Building.
“We believe in the potential of the Lower Grand Avenue District as a thriving community of world-class brands, arts and culture,” says Daehee Park, Co-founder of Tuft & Needle. “We’re excited to move into our new home at the Stapley Building and contribute to that vision as we continue growing.”
Tuft & Needle chose to collaborate with developer SimonCRE, sharing a vision and appreciation for the character of the “1917 OS Stapley Buildings” as well as the desirability of the up and coming area referred to as a creative business district.
“The City of Phoenix has invested a great deal of money retrofitting the Grand Avenue corridor,” says Joshua Simon, President of SimonCRE. “We are excited to be a part of the growth in Downtown Phoenix and are passionate about bringing hundreds of new daytime employees to nearby businesses in the area.”
The seller, Abromovitz Grand Avenue Partners, LLC, specializes in renovating old historic buildings and transformed this architectural gem into a creative and contemporary mixed-use space keeping the integrity of the red brick interior and exterior and original exposed wood trusses.
Trenton McCullough, Greg Vanlerberghe and Peter McQuaid of Levrose represented SimonCRE in the $3,160,000 purchase and Steve Farrell of Lee & Associates represented Abromovitz Grand Avenue Partners, LLC.
Read more about the purchase here.