A 33,275 square-foot retail center, offering long standing national tenants, has recently been placed on the market in Temecula. According to the listing by Zacuto Group Commercial Real Estate, the property is offered at $10.8 million, or roughly $322 per square foot.
The property, which is located at 27355-27375 Jefferson Avenue, has not been sold since 2011, when it was purchased by an Encino-based entity affiliated with Mokshinder Singh.
Now, back on the market, the property offers a three-building retail asset and 156 parking spaces situated on more than three acres of land.
The property provides a long list of tenants, with national tenants including Starbucks and Sherman Williams. The latter maintains a tenancy of more than 33 years, according to Zacuto Group Commercial Real Estate. With currently in-place rents, net operating income at the retail center reaches more than $485,642.
The shopping center is also situated among many other national retailers, including Costco, Trader Joes, Lowes, Macy’s and TJ Maxx. As one of the prime tourism destinations between San Diego and the Inland Empire, the area is also home to a large visitor population and has seen a number of hotel developments pop up over the past several years. In the immediate area, hotels include the Fairfield Inn & Suites, Staybridge Suites, La Quinta, Holiday Inn Express and an Extended Stay America, among several others.
According to the offering memorandum, the area is also seeing a rapidly declining retail vacancy of just four percent, with hardly any retail currently under construction. The area is also home to a large population, with 108,706 people living within a five-mile radius of the property. The area also sees about three million visitors each year.
“The retail sector has made significant gains since peaking earlier this year at sub four percent vacancy. Very little new construction and a strong demand for retail has made Temecula an increasingly constrained market,” the offering document states.