Eric P. Wohl, senior vice president of Hanley Investment Group, represented the buyer and seller in the sale of Diamond Valley Plaza, located at 1109-1287 South State Street in Hemet, Calif. The neighborhood shopping center is 58,034 square feet and situated on 5.14 acres. The property is anchored by Sprouts Farmers Market (not a part of the sale), Big Cheese Pizza and Crunch Fitness. The center was built in 1974, and remodeled in 2009. The purchase price was $5,850,000, translating into $101 per square foot. The buyer was Time Equities Inc. of New York, NY. The seller was a private investment company based in Newport Beach, Calif.
“The purchase of Diamond Valley Plaza gave the buyer a unique opportunity to purchase a recently remodeled, 92% occupied, grocery-anchored retail center for $101 per square foot in Southern California, which is well below replacement cost,” said Wohl.
“The Hemet market was hit very hard during the downturn in 2009-2011, but retail leasing interest has picked up dramatically in the past 12 months, which has helped get Diamond Valley Plaza to 92% occupancy with a strong tenant mix.”
In the second transaction, Hanley Investment Group’s Senior Vice President Kevin T. Fryman and Senior Associate Lee T. Csenar of Hanley Investment Group represented the seller in the sale of FedEx Plaza in Hemet. FedEx Plaza is located at 3000 West Florida Avenue in Hemet, Calif. The multi-tenant strip center is 10,567 square feet and situated on 1.09 acres. The center was remodeled in 2008, and is leased to 100% national credit tenants: ColorTyme, FedEx Office and Hanger Prosthetics. The center was 84% occupied at the time of sale. The purchase price was $1,170,000. The buyer, a private investor from Anaheim, Calif., was represented by Shaun Riley of Faris Lee Investments in Irvine, Calif. The seller was Columbus Pacific Properties of Santa Monica, Calif.
“FedEx Plaza represented a unique opportunity to purchase the leasehold interest in the building with the fixed options to purchase the land throughout the remaining term. The buyer owns multiple retail properties in the City of Hemet including adjacent parcels to FedEx Plaza,” said Csenar.
Fryman adds, “We were able to procure multiple offers due to the new construction, corporate tenant mix including FedEx, ColorTyme and Hanger Prosthetics, and the upside to lease the remaining 16% vacancy.”
About Hanley Investment Group Real Estate Advisors
Built on a solid foundation of performance, integrity and dedication, Hanley Investment Group Real Estate Advisors is a boutique retail investment brokerage firm with a three billion dollar transaction track record that is comprised of innovative specialists delivering unparalleled service and superior results that consistently exceed client expectations. Hanley Investment Group’s expertise, commitment and unwavering focus of putting the client’s needs first have continued to set the company apart in the industry. Hanley Investment Group works closely with individual investors, developers, and institutional property owners in every facet of the transaction to insure that the highest value is achieved. Clients rely on Hanley Investment Group to be the most knowledgeable and trusted source for valuation services, market information and retail property acquisitions and dispositions. For more information, visit the Company’s website at www.hanleyinvestment.com or call (949) 585-7610.