(EDITOR’S NOTE: According to a source familiar with the transaction, the property was sold for $47.35 million, or approximately $225 per square foot.)
SAN DIEGO, Calif., November 1, 2021 – Cushman & Wakefield has represented CapRock Partners in the disposition sale of a newly renovated Class A distribution building totaling 210,156 square feet in Otay Mesa (San Diego), California. The 100% leased, multi-tenant property was acquired by an undisclosed investment firm.
Originally built in the late 1980s, CapRock Partners recently completed several million dollars in capital improvements in 2020 prior to sale.
Bryce Aberg, SIOR, Jeff Chiate, Jeffrey Cole, Ed Hernandez, Mike Adey, and Zach Harman of Cushman & Wakefield’s National Industrial Advisory Group represented the seller in the transaction. Brant Aberg of Cushman & Wakefield along with Joe Anderson and Andy Irwin of JLL provided market leasing advisory.
“This was a very attractive investment offering of a high-quality industrial facility well located in a sought after Otay Mesa submarket, and where occupier demand and rents remain strong and supply is diminishing in South County,” said Bryce Aberg, Executive Managing Director. “The existing multi-tenancy provides a stable cash flow, and attractive lease terms with staggered expirations.”
Located at 1855 Dornoch Ct and situated on approximately 10.6 acres, the facility features functional divisibility with a variety of bay sizes, 26 to 28-foot clear heights, grade and dock-high loading doors, ESFR sprinkler systems, and concrete truck courts.
The project provides a desirable location with excellent proximity to the I-5/I-805/SR-905/ SR-125 interchange, the U.S./Mexico border points of entry, and several airports, providing unsurpassed regional, national and international access. It is also situated in a Foreign Trade Zone.
“Southern California’s industrial market remains popular for investors due to the ongoing robust tenant demand across the region from multiple industries combined with limited supply and convenient port and customer accessibility,” said Jeff Chiate, Vice Chairman. “We also continue to see this investor trend across the U.S. as the industrial sector remains among the most desired commercial asset classes driven by occupancy growth and need.”