Read Investments Pays $30M for Five West Coast Properties

By Natalie Dolce

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The largest acquisition, Grass Valley,
represents a market that is supply
constrained both topographically and
culturally while servicing a large
geographic trade area, says Read.

(Mark Your Calendars: RealShare REAL ESTATE 2012, March 22^nd in Los Angeles).

BERKELEY, CA-Locally based Read Investments LLC, has acquired of four retail properties in California and Oregon, and a small property in West Berkeley, CA, for a total of approximately $30 million. The deals expand Read Investments’ portfolio to more than 1.5 million square feet.

The five properties include: the 112,472-square-foot Glenbrook Plaza Shopping Center at Brunswick Road and Highway 49 in Grass Valley, CA, that is 98% leased, and includes anchor tenants Grocery Outlet, Staples, and Rite Aid. The seller was a regional real estate development firm; the 27,042-square-foot Klamath Falls Grocery Outlet at 4333 S. 6th St. in Klamath Falls, OR, is a fully-leased multi-tenant property anchored by Grocery Outlet. The seller was Dickerhoof Properties; the 24,995-square-foot Davis Manor Center at 1800 E. 8th St. in Davis, CA, is fully leased to Grocery Outlet and Dollar Tree. The acquisition from Kroger Inc. was brokered by Stuart Snider and Bill Perkins of Retail West; the 24,160-square-foot Hollister Goodwill Center, fully leased to Goodwill and HI Outlet, is at 550 Tres Pinos Rd. in Hollister, CA. The transaction, from an undisclosed seller, was brokered by Tom Nelson of Colliers; and a 6,736-square-foot single story office on the corner of 5th and University, was acquired from a group of private investors. The lot provides expanded parking for a busy Grocery Outlet-anchored property owned by RI across the street, and offers potential for redevelopment in the future. RI also owns an office-over-retail building next to the 40,000-square-foot Grocery Outlet Headquarters building.  

“Our primary investment strategy is to focus on well-located neighborhood shopping centers in familiar secondary and tertiary markets in the Western US,” says director of real estate Morgan Read. “For example, the largest acquisition, Grass Valley, represents a market that is supply constrained both topographically and culturally while servicing a large geographic trade area.”

Read adds that “The retail sales in this center illustrate the strength of this unique market and we can be patient enough to realize the upside. We also make occasional opportunistic moves, such as our acquisition of the property in Berkeley which augments our current holdings in the immediate area while providing the potential for future development.”

Read Investments anticipates making additional acquisitions in the West and Northwest markets in 2012. “We are building on our experience as both a retailer and developer acquiring and/ or creating strong retail locations with upside, both for the near and long term,” Read says.

Categories: West, Retail, Acquisitions/Dispositions, San Francisco