National City Distribution Facility Sells for Over $200/sf
A 91.5k sf, single-tenant industrial building in the National City submarket of San Diego was purchased for $21 mil ($230/sf) by an unnamed institutional buyer.
The property, located at 901 Bay Marina Drive, is in close proximity to major freeways and ports and features approximately three acres of excess land. The buyer was able to secure a long-term lease with a major Fortune 500 company immediately upon acquisition, bringing the asset to 100% occupancy.
The asset was sold by Stos Partners, which bought it in November of 2016 for $12.225 mil, reflecting a 210% project level IRR in just 14 months. During its ownership, Stos Partners implemented several property improvements, including a new roof, new exterior paint, an upgraded parking lot, and new monument signage.
Anthony DeLorenzo, Matt Pourcho, and Gary Stache of CBRE represented Stos Partners in the transaction. The transaction emphasizes increased demand for last-mile distribution centers by institutional buyers.
Article source: RenTV.com