Ivy Palm Resort & Spa in Palm Springs, California | Courtesy a representative of Marcus & Millichap

Deal Sheet – October 2018

Carrie Rossenfeld Deal Sheet

From SoCal Real Estate’s October 2018 issue:

A roundup of CRE leases, sales, and financing

Industrial
Freeway Industrial Park has sold a 67,439-square-foot, corporate-headquarters industrial building located at 1361 Valencia Ave. in Tustin, California, for $12 million to Koll Company. Mike Long of Lee & Associates–Newport Beach was the seller, while the buyer was represented by Mike Hartel of Colliers-Irvine. Koll will refurbish and remarket the property for lease.

1361 Valencia Ave., Tustin, California | Courtesy a representative of Lee & Associates

Cabot Properties has assigned the exclusive property management of seven industrial properties in the Inland Empire to Stream Realty Partners. The seven buildings total approximately 1.6 million square feet of gross leasable space, with seven tenants. Stream’s Allison Bush, senior property manager, and Ana Arguera, assistant property manager, will manage the properties on behalf of ownership, along with Victoria Knudson, EVP, who is responsible for the firm’s industrial-management platform.

15801 Meridian Parkway, Riverside, California | Courtesy a representative of Stream Realty Partners

Hotel
Palms Partner Capital, LLC has acquired Ivy Palm Resort & Spa, a 100-room hospitality property located at 2000 North Palm Canyon Drive in Palm Springs, California, from a limited liability company for $8.75 million. Sarhan Mheni, VP investments in Marcus & Millichap’s Encino, California, office, had the exclusive listing to market the property on behalf of the seller and also secured and represented the buyer.

Affordable Housing
Wakeland Housing & Development Corporation has acquired a 1.11-acre property at 5858 Mt. Alifan Drive in San Diego’s Clairemont neighborhood for $4.1 million from Mt. Alifan Building Partners. The firm plans to redevelop the property into an affordable-housing community. Colliers International San Diego Region’s Victor Krebs represented Wakeland in the off-market transaction. Krebs says, “This was a unique acquisition opportunity as the existing office building has been owned by the original developer since 1972.” The property has access to restaurants, shopping, and employment options in the area.

An aerial view of 5858 Mt. Alifan | Courtesy a representative of Colliers International

Retail
Grocery chain Aldi is opening a 20,184-square-foot supermarket located at 6755 Mira Mesa Blvd. in Mira Mesa’s Plaza Sorrento in San Diego, slated for fall 2018. Reg Kobzi, Joel Wilson, and Michael Peterson of CBRE in San Diego represented the landlord in the transaction, and Aldi was represented by Nancy Johnston and Joe Wojdowski of Epsteen & Associates. Aldi will be the grocery anchor of the center and will be surrounded by more than 10 eateries, including Urbane Café, Subway, and Waba Grill. Other tenants include UPS, Sports Clips, and San Diego County Credit Union. Aldi will inhabit a space that includes the former Fresh & Easy location and part of the BevMo! location. The supermarket is located on the busy intersection of Mira Mesa Boulevard and Camino Santa Fe and is in proximity to Qualcomm headquarters. The retailers in the center cater to a strong daytime population as well as the neighboring residential communities of Mira Mesa and Torrey Hills. Within a 5-mile radius, the region is home to 263,181 individuals.

Land
The Zachary 1992 Family Trust has sold 8.5 acres of land in Perris, California, to the buyer-developer team of Adham Abdulla and Wadeed for $1.4 million. The buyer has not yet determined development plans, but the land is zoned business professional office, which allows for a variety of uses including commercial, professional office, and industrial.
Situated directly off the 215 freeway, the site provides 930 feet of unobstructed freeway visibility and is at the major cross streets of Rider Street and Frontage Road. Located in Riverside County, the site is within a growing big-box industrial property hub with corporate neighbors that include Ross Dress for Less, Lowe’s, and Wayfair, among others.
Avison Young principal Stan Nowak, who is based in the company’s San Diego office, represented both parties in the transaction.
“This is a noteworthy transaction, as land sales in this region have been dominated by developers primarily looking for big-box industrial development projects,” Nowak says. “This site will eventually be developed for much-needed professional services and/or entertainment-oriented uses in Perris. Additionally, sites that are directly visible from the 215 freeway are becoming more difficult to find as the region continues on its path of progress.”

An aerial view of land sold in Perris, California | Courtesy a representative of Avison Young