CRE TRANSACTION ALERT
In the last six months, Hanley Investment Group has sold $75 million in retail properties in the Inland Empire.
Hanley Investment Group Real Estate Advisors, a nationally recognized real estate brokerage and advisory firm specializing in retail property sales, announced today that the firm has arranged the sale of a multi-tenant retail building at Lake Elsinore Marketplace, a 144,034-square-foot shopping center anchored by Costco, Lowe’s, Grocery Outlet, PetSmart and Dollar Tree. The sale price was $3,770,000.
Hanley Investment Group Executive Vice Presidents Kevin Fryman and Bill Asher represented the seller, Pacific Castle, based in Irvine, California. The buyer was a private investor from Torrance, California.
Built in 2006 on 0.77 acres, the 7,203-square-foot pad building is located at 29261 Central Avenue in Lake Elsinore and is 100% leased to four internet-resistant tenants – Navy Federal Credit Union, iBrows Threading Salon, Submarina and Juice It Up!.
This sale represents the sixth pad building Hanley Investment Group has sold in the last nine months at Lake Elsinore Marketplace including single-tenant properties for a Wendy’s Drive-Thru, Del Taco Drive-Thru, Panda Express, Valvoline and Wells Fargo.
“The timing of the transaction took place in the initial stages of COVID-19 being declared a pandemic,” said Fryman. “We were able to structure a successful closing to achieve the buyer’s 1031 exchange and satisfy the buyer’s lender’s borrowing guidelines, during one of the most challenging macro-economic environments we’ve experienced in over a decade.”
According to Fryman, “Over 80% of the pad building’s total square footage is occupied by national and regional tenants and has been occupied by the tenants for over eight years; 63% is occupied by the building’s original tenants since the building was built in 2006.
“Lake Elsinore Marketplace is the dominant shopping center in the trade area, ideally situated on Highway 74/Central Avenue, the main retail thoroughfare connecting Orange County to Riverside County, and is immediately adjacent to I-15 at the Central Avenue exit with freeway-visible pylon signage,” said Fryman.
Asher adds, “Lake Elsinore Marketplace is situated at the best retail location in Lake Elsinore benefitting from an excellent regional customer draw and retail synergy of notable credit tenants at Central Avenue and I-15 including Target, Walmart Supercenter (relocation store is currently under construction and expected to open at end of 2020), Home Depot, LA Fitness, Marshalls, 99 Cents Only, ALDI, Five Below, Skechers, ULTA Beauty and Walgreens.”
In the last six months, Hanley Investment Group has sold $75 million in retail properties in the Inland Empire including two multi-tenant retail buildings at Village Grove Plaza, a Stater Bros. Markets- and Crunch Fitness-anchored shopping center in Corona; a three-tenant shop building and single-tenant Quick Quack Car Wash at the Sprouts-anchored Highland Village Shopping Center in Fontana; a single-tenant Smart & Final Extra! and a four-tenant shop building at Eastvale Marketplace Shopping Center in Eastvale; and a two-tenant retail pad building at the Sam’s Club-anchored The Marketplace at Ontario Center in Ontario.