Buzz Oates Acquires Former Serta Facility

VACAVILLE, CA-The Buzz Oates Group of Cos. recently acquired the 220,800-sf former Serta mattress manufacturing facility here that it is now looking to flip to a user or lease up and sell to an investor. The Sacramento-based company acquired the vacant manufacturing building at 2050 Cessna Dr. from National Bedding Co. LLC for approximately $12 million.

National Bedding, a manufacturer of Serta mattresses, vacated the building after consolidating operations at another manufacturing facility in the Los Angeles area, according to local industry sources. CB Richard Ellis brokers Greg Smyth and Pat Cummings had the disposition assignment.

“We own an additional one million sf in that neighborhood so it made sense for us to control it,” Buzz Oates executive Kevin Ramos tells GlobeSt.com.

The building is about seven years old and has 14,000 sf built out as office space. While leasing the entire facility to one tenant would be the ideal result, Ramos tells GlobeSt.com the building could be divided into two or three spaces. He is confident that the building can leased up by in-house staff within six to 12 months at $0.40 per sf (NNN).

“In the I-80 corridor between the Bay Area and Sacramento, if a tenant wants to be there and wants more than 100,000 sf, there are only two or three options, and if a tenant needs more than 150,000 sf, there’s our building and one other,” Ramos says. “We’re talking to a couple of [potential tenants].”