PALM BEACH, FL—What made more than 70 investors flock to this net leased Tesla Motors? At $2.75 million, the showroom/service center property didn’t fetch massive numbers but it did turn more than its fair share of heads.
Located in Riviera Beach, the iconic electronic automobile pioneer Tesla Motors’ net leased asset got a little help from its renter’s brand name. But is it more than that? First, the details.
Leon Goldstein of New York acquired the 12,104-square-foot property from Dyer Road Property LLC of Riviera Beach, FL. CBRE represented both the buyer and the seller in the transaction.
“CBRE’s Private Capital Group is experiencing extremely strong interest from investors for net-leased assets, and this is a prime example,” says CBRE’s Scott O’Donnell. “This unique offering was pursued by more than 70 investors who were drawn not only to the ‘coupon-clipping’ triple-net profile and Palm Beach County location of this investment, but also to Tesla’s iconic brand.”
The state-of-the-art Tesla facility has two-stories of class A office/showroom adjoining the warehouse service center. It sits on three acres of improved industrial land in Palm Beach County and is 100% net leased to Tesla for seven years. The net leased property is located a mile from Interstate 95 and the Blue Heron Boulevard interchange and about 2.5 miles from the Florida Turnpike in a business park location.
The CBRE professionals involved in this transaction included O’Donnell, Dominic Montazemi and Miguel Alcivar, all with CBRE’s Private Capital Group. Robert Smith with CBRE’s brokerage team and Jason Hochman with CBRE’s Debt and Structured Finance Group also worked on the deal.