Sunday, November 20, 2016

Stos Partners Acquires San Diego Industrial Building; Secures Long-Term Lease with Credit Tenant

CJ Stos
SAN DIEGO, CA – Stos Partners, a privately held commercial real estate investment and management firm, has acquired a 91,541 square-foot single-tenant industrial building situated on 6.12 acres in San Diego’s National City submarket for $12.225 million. During escrow, the firm secured a long-term lease with a credit tenant.

 “This transaction is a win for us in many ways,” says CJ Stos, Principal of Stos Partners.  “The property was a rare find - a vacant industrial facility in close proximity to freeways and ports with approximately three acres of excess land.

“ We recognized the potential from the beginning, and seized the opportunity to acquire the asset as a vacant property.  Our instincts were strong, and we were able to lease it prior to our escrow closing.”

In fact, Stos confirms, his firm garnered multiple offers from industrial tenants while the property was still in escrow.

            “The functionality, location and size of this property is appealing to large credit tenants who continue to have difficulty finding facilities with these attributes in this market,” he says. 

Rusty Williams, SIOR, a Principal with Lee & Associates who represented Stos Partners as the buyer in this transaction, notes, “Industrial vacancy continues to tighten throughout San Diego county, making quality, well-located industrial properties difficult for both tenants and investors to secure.”

Rusty Williams
The National City submarket has demonstrated robust growth in the past year, with vacancy rates dropping to a mere 2.6-percent in recent months.

“This market climate fuels off-market transactions, as investors seek to remain ahead of the competition,” Williams explains.  “In this case, we sourced the opportunity before it hit the market and presented it to Stos Partners, who was able to commit and follow through.”

Stos Partners plans to invest in significant capital improvements for the facility.  The firm will add a new roof, new exterior paint, and new landscaping, and will upgrade the parking lot and HVAC system.

“We continue to create value in the assets we acquire, as we actively grow our portfolio throughout Southern California,” says Stos, who notes that his firm currently has approximately 2,000,000 square feet in assets under management.  “Successful real estate investments come from the core fundamentals, which are the improvements, location, tenancy, economics and operations.  By focusing on these, we continue to maximize returns while minimizing risk.”

            The property is located at 901 Bay Marina Drive in National City, California.  The seller, a public company, was represented by Chris Holder, SIOR, of Colliers International.

For a complete copy of the company’s news release, please contact:

Lauren Burgos / Jenn Quader
Brower, Miller & Cole
(949) 955-7940

No comments: