Hanley Investment Group Completes Sale of Shadow-Anchored Target Shopping Center in Lake Elsinore, CA for $11.6 Million

Oak Grove Crossing Shopping Center, Lake Elsinore, CA, Riverside County, CA

Kevin Fryman

LAKE ELSINORE, CA. -- Hanley Investment Group Real Estate Advisors, a nationally-recognized real estate brokerage and advisory firm specializing in retail property sales, announced the firm represented the buyer and seller in the sale of Oak Grove Crossing, a 22,577-square-foot shopping center shadow-anchored by Target in Riverside County, Calif.

Oak Grove Crossing is located at 18283 &18285 Collier Avenue in the city of Lake Elsinore, Calif. The purchase price was $11,565,200.

Hanley Investment Group Executive Vice President Kevin Fryman represented the seller, a private investment partnership based in Murrieta, Calif.  The buyer, a family trust from Orange, Calif., was represented by Hanley Investment Group Associate Jeff Lefko and Executive Vice President Bill Asher.

Jeff Lefco

he property, which was built in 2006, is located on 2.36 acres and was 100 percent occupied at the time of the sale by 81 percent national and regional credit tenants. 

National and regional credit tenants include McDonald's with a drive-thru, Starbucks, GameStop, GNC, H&R Block, Pacific Dental, Papa John's Pizza, Subway, Supercuts, Verizon and Yogurtland.

Fryman reports that the property enjoys long-term historical occupancy. “Approximately 77 percent of the tenants have been located at the center since it was built in 2006,” Fryman noted. “Since 2012, all of the shop tenants have signed a new lease or extended their lease.”

Fryman added, “The sale also included a stand-alone McDonald’s pad on a long-term ground lease.”

Bill Asher

Target is the second largest discount retailer in the United States (ranked #38 on Fortune 500), according to Asher. 

“This location includes Target’s grocery concept as well as a CVS/pharmacy inside the store, driving ‘daily needs’ traffic to the center,” Asher commented. “Additional traffic draws include Bank of America and Tarbell Realtors, which are located in the shopping center, but were not a part of the sale.”

According to Fryman, Hanley Investment Group was the second brokerage firm to formally list the property. “The buyer was procured through our in-house collaboration to match the seller’s requirements with clients that we knew were active exchange buyers,” Fryman reported. 

“We marketed the property with a potential break-up strategy,” said Fryman. “McDonald’s is separately parceled, which provided a unique opportunity to sell the McDonald’s pad on an individual basis in the future, taking advantage of the historically-low caps demanded by single-tenant buyers.”

For more information on this news release, please contact:

anne@monaghanpr.com
www.hanleyinvestment.com