SAN DIEGO—SR Commercial, a privately held, full-service commercial real estate investment company, has completed its tenth acquisition in the San Diego market. The firm recently acquired a 125,000 square-foot, Class A industrial warehouse for a total consideration of $10 million in Vista, Calif.; and a 32,842 square-foot industrial building in Oceanside, Calif. for a total consideration of $2.9 million, according to CJ Stos, a Principal of SR Commercial.
“Right now is the ideal time to invest in the San Diego industrial market,” says Stos, who founded SR Commercial with Adam Robinson. “Pricing is still competitive while debt remains low and the tenant market is getting stronger, which is an attractive combination. Demand for investment-grade product in the market continues to climb, which will ultimately drive values higher, delivering strong ROI for those who invest now.”
The firm acquired eight industrial properties in 2012, and plans to double its investment amount in 2013, according to Stos.
“Our goal is to have over a million square feet of owned quality industrial product by the end of the year,” he says.
In keeping with this strategy, SR Commercial recently acquired two industrial assets in the San Diego market, including:
SR Commercial acquired a 125,000 square-foot, Class A industrial property located at 2611 Business Park Drive in Vista, Calif. for a total consideration of $10 million. This single-tenant manufacturing and distribution building was initially constructed as a build-to-suit for Dimension One Spas in 2001, and has served as the company’s corporate headquarters for the past 12 years. The property is situated on nearly ten acres of land, and includes nearly one acre of outside storage.
“This property is unique because it is one of very few quality industrial buildings in the 100,000 square-foot and larger range in the Vista submarket,” says Adam Robinson, co-founder and Principal at SR Commercial. “Many large manufacturing tenants are seeking opportunities to lease in this market, and we anticipate that we will be able to attract quality tenants.”
SR Commercial also acquired a 32,842 square foot multi-tenant, industrial flex building in Oceanside, Calif. for a total consideration of $2.9 million. The building, which was 65 percent occupied at the time of purchase, is currently occupied by the City of Oceanside Police Department, as well as a gymnastics studio.
“This property presented an excellent opportunity to add value through both tenant improvements and leasing,” says Robinson. “We knew that a portion of the building had been vacant for more than four years, and that we wanted to fill the space quickly in order to stabilize the asset. Within three weeks of closing, SR Commercial secured a seven-year, 4,999 square-foot lease with the City of Oceanside Fire Department.”
Justin Beattie and Jim Benson of Cassidy Turley represented SR Commercial as the buyer and Seaside Development, LLC as the seller in the transaction. Both brokers will continue to act as exclusive agents on the property, and will market the property for lease.
The property is located at 1935 Avenida Del Oro in Oceanside, CA