Coronado Island Assemblage Changes Hands

CBRE completed the sale of the 30,000-square-foot asset for $22 million.
Aerial view of the Coronado Island Assemblage, Calif.
Aerial view of the Coronado Island Assemblage, Calif.

Coronado Island, Calif.—CBRE Group recently announced the sale of Coronado Island Assemblage to local real estate company Kleege Enterprises in Coronado, San Diego, for roughly $22 million. Kleege Enterprises purchased the entire city block in the heart of downtown’s retail district. CBRE represented both the buyer and the seller, a local family.

Located on Orange Avenue, in the center of Coronado Island’s premier dining, nightlife and shopping destination and close to Hotel del Coronado, the asset consists of approximately 30,000 square feet of retail buildings, situated on nearly 50,000 square feet of land. Mootime Creamery, Leroy’s Kitchen and Costa Azul are among the major tenants. The property comprises nine parcels that have been assembled over the past 40 years. Coronado Island Assemblage is currently fully leased.

“Coronado Island is the quintessential Southern California beach town with high barriers to entry. Assemblages with this much upside are increasingly rare. Orange Avenue represents an exceptional opportunity to capitalize on recent market shifts toward hip urban restaurants and shopping,” said Tim Kuruzar, associate at CBRE, in a prepared statement.

During the fourth quarter of 2016, fundamentals in the San Diego retail market made a strong comeback, with 326,663 square feet of positive net absorption.

Image courtesy of CBRE