CBRE Closes $14M Sale of San Diego Strip Center
- Sep 26, 2016
San Diego—CBRE has announced the sale of Taco Bell and Shops, a retail strip center in San Diego, Calif. The price tag was $14 million, representing a 5 percent cap rate. Located at 2007-2025 Camino del Este, the 18,175-square-foot strip center was 100 percent leased upon closing, with tenants such as Taco Bell, El Pollo Loco, Pick Up Stix, AT&T and T-Mobile. Built in 1999, the property is situated near Westfield Mission Valley Mall, along the I-8 freeway.
The CBRE team including EVP Philip Voorhees, Jimmy Slusher, Megan Wood, Matt Burson, Kirk Brummer, Preston Fetrow, John Read and SVP Reg Kobzi, represented the seller, MVR LLC, a Los Angeles-based private investor. The buyer, an undisclosed, Calif.-based private investor, was represented by David Lachoff of Newmark Grubb Knight Frank. Additionally, CBRE’s Debt & Structured Finance team, arranged the non-course 10-year, fixed-rate loan of $7.3 million.
“This transaction was remarkable for its low cap rate and exceptional pricing on a per-square-foot basis considering the two-level nature of the project, all of which speak to its tremendous location,” Voorhees said in a prepared statement. “For the seller, a private real estate investor, pricing was at the top end of the anticipated range. For the buyer, also a private investor with a long-term investment horizon, the cash-on-cash yield resulting from new financing at historically low rates produced a compelling return in an irreplaceable asset.”
Image courtesy of CBRE