Retail Property Brings $426 Per SF

CHINO, CA-In a sale that closed at $426 per sf, based Envy Investments LLC of Newport Beach has purchased a new, 5,287 sf retail space in a single building with addresses at 12400-12490 Walnut Ave. and 12488 Central Ave. for $2.25 million, according to the CB Richard Ellis Private Client Group in Newport Beach.

Phil Voorhees of the Private Client Group tells GlobeSt.com that the property generated more than a dozen offers in six days after being listed, including four full-price offers. The retail space was completed in 2003 and was 100% leased to Starbucks and Wells Fargo Bank at the time of sale. Voorhees, Gary Stache and Pat Scruggs of the Newport Beach office of CBRE represented the seller, Evergreen Central Corner LLC of Phoenix. The buying entity, Envy Investments, is composed of several Southern California private investors and was represented by Scott Hook of the Newport Beach office of Marcus & Millichap. The seller was also the developer of the property, which is a single-story, freestanding building.

Voorhees notes that the sale closed at a cap rate of approximately 6.875%, which he describes as one of the lowest cap rates in recent memory for a comparable retail property.