Hanley Investment Group Closes Four Southern California Retail Property Sales Totaling $12,640,000
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Two NNN Fresh & Easy Markets, a Retail Strip Center & Prime REO Property Trade Hands
IRVINE, CALIF. – Hanley Investment Group Real Estate Advisors, one of the dominant retail investment groups in Southern California and a market leader in the sale of retail properties, announced today that Hanley Investment Group negotiated the sale of two separate NNN Fresh & Easy Neighborhood Market transactions and a multi-tenant retail strip center. Additionally, HI Urban Retail Advisors, a retail investment division of Hanley Investment Group specializing in the sale and advisory of high profile mixed-use and urban retail properties, negotiated the sale of a bank-owned street-front retail building. All four properties were located in Southern California and totaled $12,640,000.
Carlos J. Lopez, president of HI Urban Retail Advisors, represented the buyer in the sale of a 24,925-square-foot street-front building located at the signalized intersection of 3rd Street and Pine Avenue in the heart of Downtown Long Beach. The bank-owned property consists of 23,050 square feet of ground-floor retail space and 1,875 square feet of second story office/loft space. Originally built in 1930 and later renovated in 1945, the subject property was 94% vacant at the time of sale. Starbucks was the only tenant that occupied space at the property at the close of escrow. The purchase price was $3,500,000. The buyer was a family trust from Long Beach. The seller was Vineyard Bank based in Corona, Calif.
"It was a unique bank-owned opportunity in this current market given its high-profile downtown urban location," said Lopez. "The current market has not presented many REO retail opportunities yet, specifically with as strong a location as 3rd Street and Pine Avenue in Long Beach."
Hanley Investment Group also negotiated the sale of the fee-simple ownership in the land leased to a single-tenant NNN Fresh & Easy Neighborhood Market in two separate locations in Southern California, one in Loma Linda and the other in Riverside. Fresh & Easy is a subsidiary of Tesco, the second largest retailer in the world. Tesco is the largest retailer in the United Kingdom and operates over 3,200 stores across 12 countries.
In the Loma Linda, Edward B. Hanley represented the buyer and seller in the sale of a single-tenant Fresh & Easy Neighborhood Market. The purchase price was $2,865,000. The 15,000-square-foot single-tenant Fresh & Easy Neighborhood Market is located at 25694 Redlands Boulevard in Loma Linda. Positioned at the signalized intersection of Redlands Boulevard and Mountain View Avenue, the property is situated on 2.1 acres and was built in 2009. The buyer was Downtown Gateway, a California limited partnership based in Los Angeles, Calif. The seller was MV Investors, Inc., also from Los Angeles.
“We generated six offers very quickly from our marketing efforts,” said Hanley. “Investors in today’s market are driven more than anything on location, which was a significant reason this property had so much interest when we brought it to market.”
“The building is situated at a hard corner signalized location that features average daily traffic counts of over 42,000 cars per day, and is adjacent to Interstate 10 freeway where average daily traffic counts at the Mountain View Avenue exit are 400,000 cars per day,” Hanley noted. “Additionally, with the property being located within an affluent residential neighborhood, the buyer acquired an asset well-positioned for long-term success.”
In Riverside, Hanley and William B. Asher represented the seller in the sale of the fee-simple ownership in the land leased to a single-tenant NNN Fresh & Easy Neighborhood Market. The purchase price was $2,475,000. The Fresh & Easy Neighborhood Market is located at 8765 Trautwein Road in Riverside situated within Orangecrest Towne Center, a community shopping center anchored by Kohl's. Built in 2007, Fresh & Easy occupies a 14,500-square-foot free-standing building situated on a 1.41-acre parcel of land. The buyer, who fulfilled a 1031 exchange requirement with the purchase, was Third Street Plaza LLC from Long Beach, represented by A.J. Nay and Kurt Schneiter at Maverick Investments, also from Long Beach. The seller was HEC - Orangecrest LLC from Newport Beach, Calif.
"The buyer pool for single-tenant retail investments remains strong," Hanley said. "There is still a substantial amount of capital in today’s market looking for secure and stable, single-tenant investments with long-term leases and minimal management responsibilities. This Fresh & Easy sale is a prime example."
"We had a lot of interest in the property due to the quality of the location and the fact that Fresh & Easy had been operating at the site for close to two years," said William B. Asher, managing director of Hanley Investment Group. "The average household income is in excess of $113,000 within a three-mile radius. The combination of the affluent demographics in the immediate area and an initial 20-year NNN lease term for Fresh & Easy made it an ideal fit to achieve the buyer’s investment objectives."
Asher added, "Through our strategic marketing efforts, we were able to procure an all-cash buyer that closed escrow in 20 days."
Also in Riverside, Jeremy S. McChesney of Hanley Investment Group represented the buyer and seller in the sale of a multi-tenant retail strip center at the signalized intersection of Arlington Avenue and Copper Lantern Drive. The purchase price was $3,800,000. The 34,644-square-foot shopping center, known as Copper Lantern Center, is located at 8151-8201 Arlington Avenue in Riverside. The 3.40-acre strip center is anchored by 7-Eleven and consists of 19 local and regional tenants. The buyer was Sunnycreek LLC of Los Angeles, Calif. The seller was Copper Lantern Holdings of Orange, Calif.
About HI Urban Retail Advisors
HI Urban Retail Advisors is a retail investment division of Hanley Investment Group Real Estate Advisors specializing in the sale and advisory of high profile mixed-use and urban retail properties in dynamic commercial districts across the United States. Built on unsurpassed dedication and an impressive track record of performance and results, HI Urban Retail Advisors consistently exceeds client expectations through its unparalleled, comprehensive knowledge of urban retail from a national and global perspective.
Whether it is situated in a well-located, dynamic commercial district, or in conjunction with a mixed-use project, urban retail is a very specific product type within the overall retail marketplace. HI Urban Retail Advisors guides clients in attaining the highest returns through its exceptional experience and responsive team that thoroughly comprehends this unique and growing market segment. HI Urban Retail Advisors utilizes its innovative expertise to lead property owners through complex issues relating to land use and the progressive revitalization of high density urban areas to effectively help clients understand the significant characteristics of each urban retail asset and its optimum positioning and value.
HI Urban Retail Advisors works closely with investors to develop and maintain long-term relationships and has successfully accumulated a highly targeted database of mixed-use and urban retail property investors and owners from every major urban market in the country that is unmatched in the industry. HI Urban Retail Advisors' concentrated expertise and exclusive focus on mixed-use and urban retail properties translate into measurable results and is the reason that clients rely on HI Urban Retail Advisors to be the most dependable source for valuation services, market information and urban retail investment sales. For more information, visit the Company's website at www.hiurbanretail.com or call (949) 585-7610.
About Hanley Investment Group Real Estate Advisors
Built on a solid foundation of performance, integrity and dedication, Hanley Investment Group Real Estate Advisors is a boutique retail investment advisory firm with a two billion dollar transaction track record that is comprised of innovative specialists delivering unparalleled service and superior results that consistently exceed client expectations. Hanley Investment Group's expertise, commitment and unwavering focus of putting the client's needs first have continued to set the company apart in the industry. Hanley Investment Group works closely with individual investors, developers, and institutional property owners in every facet of the transaction to insure that the highest value is achieved. Clients rely on Hanley Investment Group to be the most knowledgeable and trusted source for valuation services, market information and retail property acquisitions and dispositions. For more information, visit the Company's website at www.hanleyinvestment.com or call (949) 585-7610.