RICHMOND — A large East Bay industrial center has been purchased for greater than $100 million. This shows that despite the sector's problems, investors are still searching for some varieties of industrial properties.
Minnesota-based WPT Capital Advisors, through separate subsidiaries, paid a complete of $132.5 million for 3 industrial and logistics buildings which are a part of the Pinole Point Business Park on the corner of Giant Highway and Atlas Road in Richmond. 24 with the Contra Costa County Recorder's Office.
A potentially big advantage for the customer: An Amazon delivery partner is renting one in all the three buildings purchased.
Despite the deal, nevertheless, there are some signs that the economic malaise that has infected the Bay Area's office, retail and hotel markets could also hurt the relatively healthy industrial and logistics sectors within the nine-county region.
Here are details on the purchases of the three Giant Highway buildings totaling 724,100 square feet. Prizes have been deposited with the Recorder's Office.
– 6015 Giant Highway, 224,200 square feet, purchased for $67.5 million. According to Google Maps, G Logistics, an Amazon delivery partner, is a tenant.
– 6015 Giant Highway, 476,500 square feet, was purchased for $54 million. Google Maps doesn’t show any business operating at this location.
– 6025 Giant Highway, 41,400 square feet, was purchased for $11 million. There isn’t any evidence of any firms operating on the positioning.
Coincidentally, Amazon operates a achievement center across the road in a constructing that was not involved within the property purchase. Additionally, Whole Foods operates a distribution center in one other constructing nearby that was not a part of the actual estate deal.
Real estate investors seem like taken with this a part of Richmond, real estate documents show.
In July, Santa Monica-based GLP Capital Partners paid a complete of $129 million for 3 buildings at 2100, 2500 and 2900 Atlas Road in Richmond. These buildings had a combined area of 474,800 square meters.
This latest deal and the deal accomplished over the summer suggest that Bay Area industrial, logistics and manufacturing real estate values could also be declining somewhat, whilst investors remain taken with this sector within the region.
The July deal for Atlas Road was accomplished at $272 per square foot.
The most up-to-date transaction on Giant Highway represented a price of $183 per square foot. That's a 33% loss in value over a period of months.
The six buildings within the two contracts are much like one another and goal the identical varieties of tenants, although their size varies somewhat.
image credit : www.mercurynews.com