ANAHEIM, CA-Northgate Gonzalez Markets has signed a 15-year, $69 million lease for a 375,000-square-foot build-to-suit office and distribution center that will serve as both a headquarters and warehouse for the family-owned grocery chain, according to DAUM Commercial Real Estate Services. Northgate Gonzalez was represented by Joseph Tilton and Steve Pearson of DAUM’s Orange County office in the deal with a joint venture of Irvine-based Birtcher Development & Investments and Cornerstone Real Estate Advisers.
The Birtcher/Cornerstone joint venture is developing the build-to-suit on a 21.6-acre parcel at 1201 North Magnolia Ave. The developers say that the warehouse and distribution center will be developed according to LEED standards, with construction expected to begin in the fourth quarter of 2009 and be completed in 2010.
The joint venture of Birtcher and Cornerstone was represented by Clyde Stauff, Bret Hardy and Pat Remolacio of Colliers International in the acquisition of the development site, which it acquired from Delphi Automotive. The Colliers team also represented the seller, Delphi Automotive, and represented Birtcher/Cornerstone in the lease with Northgate Gonzalez.
Shannon Hondl, senior vice president of development and acquisitions at Birtcher, notes that the developers acquired the parcel after “pursuing this exceptional site for six years and winning a rigorous bidding process.” Cornerstone, on behalf of one of its clients, provided the construction financing and the equity for the deal.
The development site is at the interchange of interstates 5 and 91, giving it prime access to major transportation routes. The City of Anaheim provides a central location within the Southern California market and offers business incentives, including discounted power rates, the developers point out.