Lee & Associates Negotiates Industrial Sale in Riverside, CA
RIVERSIDE, Calif. - December 21, 2015 - The Riverside office of Lee & Associates, the largest broker-owned commercial real estate firm in the nation, negotiated a $5.8 million sale and purchase of a 64,000-square-foot industrial building located at 601 Columbia Ave, Riverside.
Mario Calvillo of Lee & Associates Riverside, represented an institutional buyer, and the seller, Caspian Properties & Darrell Butler.
"The building tenancy consisted of four tenants and sold as a 100% leased investment,” said Calvillo, noting that the building was developed in 2005 and the contractor was Fullmer Construction and designed by HPA, Inc. “This was a rare opportunity to acquire a true class A dock-high facility, which provided my client with a diversified core asset.”
Activity in the Riverside submarket continues to be strong, even with an extreme lack of quality product available. The vacancy rate in the Riverside submarket was 2.97% as of third quarter 2015, with average rental rates and sales prices exhibiting upwards trends through the first three quarters of the year, a trend which will continue throughout the remainder of 2015 and into 2016. The supply of buildings offered for sale in the Riverside submarket is extremely limited, and quality Class A investment opportunities are a rare find. Cap rate compression, due to rising lease rates is predicted for the future.