Los Angeles – Aug. 19, 2016 – CBRE Group, Inc. announced a lease valued at more than $11 million at Huntington South Shopping Center in Huntington Beach, California, to 24 Hour Fitness USA Inc.
CBRE’S Richard Rizika represented the landlord, Huntington South Center, LLC, in the 33,500 square-foot lease. The tenant was represented by Avison Young.
Orange County’s Huntington South Shopping Center is located at 9051 Atlanta Ave and features a total of nine retailers and service providers, including a national coffee and sandwich chain. 24 Hour Fitness signed a 15-year lease at the property, which is located in a predominantly residential community and is approximately 2 miles from Huntington Beach Pier and Pacific Coast Highway.
“Shoppers either want value or they want an experience,” said Rizika. “That’s why outfits such as restaurants, service providers or fitness studios are very popular with landlords. They can’t be replicated online and they serve the communities they sit in.”
Particularly in Southern California, a lack of new development in recent years, coupled with the area’s high-density and affluence is pushing demand for urban retail infill locations. Well-established markets, as well as still-evolving neighborhoods are drawing interest from domestic and international investors.
Orange County is an affluent and retail-dependent population, and the region’s median household income is higher than all neighboring counties at $77,162, according to CBRE’s second-quarter research report. Strong growth projections paired with steady visitor numbers have positioned the region as the ideal location for a number of retailers. The average asking lease rate of $2.18 per square foot reflects a year-over-year growth of 6 cents, according to the report.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2015 revenue). The Company has more than 70,000 employees (excluding affiliates), and serves real estate investors and occupiers through more than 400 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
