Steven Yari and Shawn Yari Purchase Scottsdale Galleria

Steven Yari and Shawn Yari, founders and managing principals of Stockdale Capital Partners, purchased the Scottsdale Galleria in 2013 because they recognized the growing demand for high-quality office space in the heart of Downtown Scottsdale. Once a luxurious, yet failed shopping mall, Scottsdale Galleria has reinvented itself as a business and tech hub, behind the leadership and investment of Stockdale Capital Partners. The center currently features two Class A buildings totaling nearly 540,000 square feet that contains an impressive roster of national and international tenants in the innovation technology sector.

The Scottsdale Galleria has attracted tenants such as Yelp, Inc., Clearlink and Square.

Yelp, a San Francisco-based business review and social networking site, has expanded its footprint in the building several times and currently leases more than 150,000 square feet with a team of nearly 1,200 employees. Clearlink, a Salt Lake City-based sales conversion service, opened a 350-employee office in 2016.

Speaking about the appeal of Scottsdale to large, tech-oriented businesses, Steven Yari said, “Companies that desire to grow need a broad pool of talent, especially millennials. Scottsdale is one of the best small markets in the country to access highly educated millennial talent. That’s a major reason we’ve deployed capital into this market in the way we have.”

Undoubtedly, Stockdale Capital Partners’ investment into the Galleria has been an extraordinary success story.

Steven Yari and Shawn Yari have remained committed to making the Galleria a great place for companies to set up shop. There’s certainly more room for growth, given the strength of the local economy, pro-business climate, and strong workforce demographics. The local entertainment, restaurant & lifestyle amenities, as well as the attractive housing options, make Downtown Scottsdale a true live-work-play environment that millennials crave, which in turn adds to the appeal of the Scottsdale Galleria for employers seeking a Phoenix-metro presence.

2017 was a particularly exciting year for the Galleria. Stockdale Capital Partners invested $7 million into property upgrades including a lobby modernization program – which included an updated café, private conference rooms and a state-of-the-art feature wall – as well as common area renovations and a state-of-the-art fitness center.

Additionally, Stockdale Capital Partners recapitalized the ownership of Scottsdale Galleria in early 2017 at a value of $142.5 million; the recapitalization included an adjacent lot with future plans for a 220,000 SF Class-A office development.

The former mall has attracted some high-profile tenants since its most recent property upgrades. Indeed, the world’s largest jobs site, which opened an office last June and hired roughly 250 employees, has grown from approximately 20,000 to 50,000 square feet over the last year.

For Steven Yari and Shawn Yari, who have been active in the Scottsdale market since the early 1990’s, it is exciting to see the Galleria Corporate Centre reach its true potential as a thriving corporate tech hub. The recent influx by many of the aforementioned companies has spurred economic activity throughout the Downtown area and contributed to significant job growth and a healthy local economy.

“Between the amenities and the continued growth of the entertainment district, there is a lot of positive activity happening in Old Town Scottsdale today and that’s drawing visitors, residents, and businesses like Yelp, Indeed, and Square,” said Shawn Yari. “We see the potential for even greater corporate relocations to the Galleria.”

Over the past three decades, Steven Yari and Shawn Yari have played a large role in revitalizing Scottsdale and remain strongly invested in the city today. To that end, Stockdale Capital Partners has plans to break ground on a $175 million mixed-use hotel and residential development in the fourth quarter of 2018.