The transactions totaling 150,000 square feet were part of a 1031-exchange
Los Angeles – CBRE announced the sale of two retail shopping centers in Menifee and Wildomar, Calif. to a private local investor for a total of $35.6 million.
CBRE’s Fred Aframian represented the buyer, a private Hollywood-based family-office.
The 124,431 square-foot Menifee Town Center is located at 30121 - 30187 Antelope Rd. at the corner of Newport Road in Menifee, and the 33,416 square-foot Barn at Wildomar is situated at 32395 Clinton Keith Road in Wildomar.
Menifee Town Center is anchored by a Ralph’s grocery store and features best-in-class retailers such as Ross, Dollar Tree as well as Living Spaces, a chain that has rapidly grown into a successful large format furniture retailer with 20 showroom locations in California, Arizona, and Nevada. The property also features two freestanding pad tenants -- Bank of America and AutoZone – and two acres of developable land parcel with freeway frontage.
The Barn at Wildomar is a life-style neighborhood center, including various eateries and has served as an entertainment destination for neighboring towns such as Murrieta and Wildomar. It sits in proximity to the affluent neighborhoods of Bear Creek and La Cresta Estates in addition to the newly built Lennar developments. The site has undergone a complete renovation, featuring outdoor patios, multiple dining options and a mix of internet-resistant tenants.
“These were two fantastic opportunities for this 1031-exchange buyer,” said Aframian. “This was a complicated transaction that required divesting of the buyer’s previously owned property in Hollywood while simultaneously negotiating and closing on these two transactions, with two
different sellers.”
He added, “Assets that feature a variety of service- and entertainment-related offerings have done very well. Especially in a market such as the Inland Empire, which has experienced a tremendous population growth and continues to evolve into a true live-work-play environment. This buyer was highly attracted to the huge difference in income these two properties represented as compared with the asset in Hollywood - a six-fold increase in annual income. You have to leave Greater LA to get this kind of return, and they loved all the new housing growth in the Inland Empire.”
The seller of Menifee Town Center, a national real estate investment trust, was represented by Reza Investment Group’s Ramez Barsoum and Aaron Bettencourt, and The Barn at Wildomar ownership was represented by Lee & Associates’ Mike Hanna and James Nadal in the transactions.
The Inland Empire’s retail landscape has been increasingly vibrant due to an influx of demand from a growing employee and residential base, according to CBRE’s Q1 report. High demand for retail space and a growing population will ensure leasing activity will stay strong in the region through the remainder of 2019. Asking lease rates are likely to continue to climb in step with demand as vacancies are expected to trickle downward.
Los Angeles – CBRE announced the sale of two retail shopping centers in Menifee and Wildomar, Calif. to a private local investor for a total of $35.6 million.
CBRE’s Fred Aframian represented the buyer, a private Hollywood-based family-office.
The 124,431 square-foot Menifee Town Center is located at 30121 - 30187 Antelope Rd. at the corner of Newport Road in Menifee, and the 33,416 square-foot Barn at Wildomar is situated at 32395 Clinton Keith Road in Wildomar.
Menifee Town Center is anchored by a Ralph’s grocery store and features best-in-class retailers such as Ross, Dollar Tree as well as Living Spaces, a chain that has rapidly grown into a successful large format furniture retailer with 20 showroom locations in California, Arizona, and Nevada. The property also features two freestanding pad tenants -- Bank of America and AutoZone – and two acres of developable land parcel with freeway frontage.
The Barn at Wildomar is a life-style neighborhood center, including various eateries and has served as an entertainment destination for neighboring towns such as Murrieta and Wildomar. It sits in proximity to the affluent neighborhoods of Bear Creek and La Cresta Estates in addition to the newly built Lennar developments. The site has undergone a complete renovation, featuring outdoor patios, multiple dining options and a mix of internet-resistant tenants.
“These were two fantastic opportunities for this 1031-exchange buyer,” said Aframian. “This was a complicated transaction that required divesting of the buyer’s previously owned property in Hollywood while simultaneously negotiating and closing on these two transactions, with two
different sellers.”
He added, “Assets that feature a variety of service- and entertainment-related offerings have done very well. Especially in a market such as the Inland Empire, which has experienced a tremendous population growth and continues to evolve into a true live-work-play environment. This buyer was highly attracted to the huge difference in income these two properties represented as compared with the asset in Hollywood - a six-fold increase in annual income. You have to leave Greater LA to get this kind of return, and they loved all the new housing growth in the Inland Empire.”
The seller of Menifee Town Center, a national real estate investment trust, was represented by Reza Investment Group’s Ramez Barsoum and Aaron Bettencourt, and The Barn at Wildomar ownership was represented by Lee & Associates’ Mike Hanna and James Nadal in the transactions.
The Inland Empire’s retail landscape has been increasingly vibrant due to an influx of demand from a growing employee and residential base, according to CBRE’s Q1 report. High demand for retail space and a growing population will ensure leasing activity will stay strong in the region through the remainder of 2019. Asking lease rates are likely to continue to climb in step with demand as vacancies are expected to trickle downward.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), 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 2019 revenue). The company has more than 100,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 530 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.
CBRE Group, Inc. (NYSE:CBRE), 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 2019 revenue). The company has more than 100,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 530 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.
