SCOTTSDALE, AZ — May 29, 2026 — The Sheehan | Schumacher Industrial Team at Rein & Grossoehme Commercial Real Estate (RGCRE) has completed an industrial lease at 5340 W Luke Ave in Glendale, Arizona, representing continued absorption of Industrial Outdoor Storage (IOS) assets along the Grand Avenue corridor. Max Schumacher, SIOR, and Patrick Sheehan represented the landlord in the transaction.
The lease adds to a growing body of evidence that IOS properties — industrial assets featuring significant yard and outdoor storage components — remain among the most sought-after and supply-constrained product types in the Phoenix metropolitan area.
Key Highlights
- Property Address: 5340 W Luke Ave, Glendale, AZ
- Submarket: Grand Avenue
- Property Type: Industrial with Outdoor Storage / Yard (IOS)
- Building Size: 11,400 SF
- Total Land Area: 3.14 acres (approximately 136,778 SF)
- Transaction Type: Lease
- Representation: Landlord representation by Patrick Sheehan and Max Schumacher, SIOR, of Rein & Grossoehme Commercial Real Estate
Property Profile: A High-Ratio IOS Asset
The property at 5340 W Luke Ave exemplifies the characteristics that define institutional-quality IOS assets in the Phoenix market. Situated on 3.14 acres with an 11,400 SF building, the site features a land-to-building ratio of approximately 12:1 — a configuration that prioritizes exterior yard and staging capacity, which is the hallmark of true IOS product.
| Property Metric | Detail |
|---|---|
| Building SF | 11,400 |
| Total Land Area | 3.14 acres (~136,778 SF) |
| Land-to-Building Ratio | ~12:1 |
| Property Type | IOS (Industrial with Outdoor Storage) |
| Submarket | Grand Avenue, Glendale |
"The Grand Avenue corridor continues to attract tenants who need functional outdoor storage and yard space paired with building improvements," said Max Schumacher, SIOR, of Rein & Grossoehme Commercial Real Estate. "Assets like 5340 W Luke Ave, with a high land-to-building ratio and direct proximity to major arterials, are increasingly difficult to source in the Phoenix market."
Grand Avenue Submarket: A Proven IOS Corridor
The Grand Avenue submarket in Glendale has long served as a working industrial corridor, with its diagonal alignment along US-60/Grand Avenue providing efficient connectivity to both downtown Phoenix and the West Valley's broader logistics network. The area's zoning characteristics and legacy parcel sizes have historically supported IOS and yard-intensive uses, making it a natural home for construction, landscaping, fleet storage, equipment rental, and similar operations.
As institutional capital has increasingly targeted IOS as a distinct asset class nationwide, corridors like Grand Avenue — where functional sites exist with in-place infrastructure — have experienced heightened competition for available space.
IOS Supply Dynamics in Metro Phoenix
According to Patrick Sheehan, the broader Phoenix industrial market has seen sustained demand for IOS product at a time when new IOS supply is structurally constrained. Unlike traditional industrial development, IOS sites require specific zoning entitlements, adequate parcel depth, and locations that accommodate heavy vehicle and equipment activity — criteria that limit developable land even in a market as geographically expansive as Phoenix.
"Every IOS lease we close reinforces the same fundamental dynamic: tenants need yard space, and there simply isn't enough of it," Sheehan noted. "The pipeline for new IOS product is minimal compared to conventional industrial construction, which means existing assets like this one carry significant strategic value for landlords."
Market Context
The Phoenix industrial market remains one of the most active in the Western United States, supported by population growth, nearshoring activity, and continued infrastructure investment. Within the broader industrial sector, IOS has emerged as a distinct and high-performing asset class, characterized by strong tenant retention, limited new supply, and growing institutional investor interest. The Grand Avenue submarket in Glendale represents one of several established IOS corridors across metro Phoenix where the Sheehan | Schumacher Industrial Team actively represents landlords.
About Rein & Grossoehme Commercial Real Estate
Rein & Grossoehme Commercial Real Estate (RGCRE) is a full-service commercial real estate brokerage based in Scottsdale, Arizona. The Sheehan | Schumacher Industrial Team, led by Patrick Sheehan and Max Schumacher, SIOR, specializes in industrial landlord representation across the Phoenix metropolitan area, with deep expertise in Industrial Outdoor Storage (IOS), single-tenant industrial, and multi-tenant flex properties. With over $525 million in total transaction volume, the team ranks among the top industrial brokerage teams in the Phoenix market.