Done Deals: Jul 31, 2021

Saturday, July 31, 2021

Stos Partners Turns $48 Million in Investments into Nearly $83 Million in Sales

SOLD: 228,912 square-foot industrial
asset at 42301 Zevo Drive in the Inland
Empire submarket of Temecula, Ca

CJ Stos

Temecula, CA – Stos Partners, one of the most active commercial real estate investment and management firms in Southern California, has announced the $40.75 million sale of a 228,912 square-foot industrial asset in the Inland Empire submarket of Temecula, California, bringing its total sale volume for the month of July 2021 to $82 million.

“Our two most recent sales demonstrate the magnitude of value creation that is possible in the current market with the right industrial investment strategy,” says CJ Stos, Principal at Stos Partners.

“We were able to successfully turn $50 million in investments into $82 million in sales within an 18-month ownership period.

"This reflects the strength of our investment platform as well as the ever-increasing institutional appetite for well-positioned, well-located industrial product.”

Darla Longo

Stos’ most recent sale in Temecula was to a San Diego-based private institution. Stos initially acquired the asset for $28.9 million in April of 2020 and implemented a value-add program through which the firm successfully secured a long-term tenant and ultimately achieved a 41% value increase.

Jason Richards

“We recognized early on that this asset was located on a path of growth, with a tremendous amount of unrealized value,” says Stos.

“This sale speaks to our expertise in acquisitions and execution, and to the depth of our broker relationships, through which we were able to identify this asset and complete its strategic lease-up and sale.”

The firm’s recent transactions also reflect continued demand in the industrial sector, buoyed by strong local fundamentals, as well as emerging and accelerated trends over the past year and a half, notes Jason Richards, Partner at Stos Partners.

“We are extremely well-capitalized and have an exceptional understanding of these Southern California industrial markets, so we are able to move and act quickly to close deals and execute our business plans when the timing is right,” says Richards.

Barbara Perrier

According to Jay Boyle, Executive Vice President at Stos Partners: “While many firms hit pause and sidelined early in the pandemic, we had the foresight, confidence, and expertise to forge ahead.

Jay Boyle

"Because of this, we were able to create rapid value for our partners and investors, and ultimately achieve these respective 123% and 41% value increases in a relatively short hold period.

"These fundamentals bode well for the future, as we continue to actively acquire well-located industrial and office properties throughout Southern California and Texas.”

The firm’s most recently sold property is located at 42301 Zevo Drive in Temecula, California.

Darla Longo, Barbara Perrier, Louay Alsadek and Hunter Rowe with CBRE represented the buyer.

Louay Alsadek

Bob Willingham with Kidder Matthews and Scott Stewart with Lee & Associates represented Stos Partners as the seller in this transaction.

About Stos Partners

Stos Partners is a privately held commercial real estate investment and management firm that invests in real estate directly and in partnership with high net worth and institutional investors.

Hunter Rowe

With a track record spanning over one billion in transactions to date, the firm targets the most competitive risk-adjusted returns in the marketplace through opportunistic acquisitions, strategic redevelopment, and ground-up development of both institutional and small-to-mid-cap commercial properties.

Bob Willingham

CONTACTS:

Katie Haga / Elisabeth Manville

Brower Group

(949) 438-6262

khaga@brower-group.com

www.stospartners.com.

Hold-Thyssen Negotiates $7 Million Sale of High-Profile Winter Springs, FL Office Building

Nicholas B. O’Shea

WINTER SPRINGS, FL --- Hold-Thyssen, Inc., a full service commercial property firm based in Winter Park, recently closed on the sale of Vistawilla Office Center built in 2006 at 1511 E. SR 434 at the intersection of State Road 417.

Hold-Thyssen’s Transaction Specialist Nicholas B. O’Shea negotiated the sale representing the seller Vistawilla Office Center , LLC.

The buyer, an Orlando-based investor, paid $7,000,000 for the 39,877 square foot, fully-leased building on a five-acre site.

Noteworthy long-term tenants include The Seminole County-University of Central Florida Business Incubator, leasing 10,000 square feet, Alpha EMC, leasing 9,428 square feet and Snap-On Tools Company, with 3,140 square feet.

Hold-Thyssen, Inc. provides commercial property brokerage and leasing and management services to institutional and private investor clients nationwide. The 40-year old firm’s current portfolio includes more that 100 commercial properties throughout the United States .

CONTACTS:

Anthony Fisher, Vice President, Hold-Thyssen Inc.,

407-691-0505, afisher@HoldThyssen.com

Robert P. Hold, Principal, Hold-Thyssen, Inc.,

407-691-0505, bhold@HoldThyssen.com

Beth Payan, Larry Vershel Communications Inc.

407-644-4142 Beth@larryvershel.com.

MLILY commits to 1.25 million SF lease at largest Hines single-building development in Glendale, AZ

Courtney Schneider

GLENDALE, AZ – Globally recognized mattress manufacturer MLILY has committed to a 1.25 million-square-foot lease at Glendale 303 (G303).

The lease fills a just-completed, 569,520-square-foot industrial building and initiates an expansion of G303 to fulfill the tenant’s larger, single-building lease requirement.

Glendale 303, when completed in 2022
in Glendale, AZ, the building will become
the largest single-building Hines
developmentto date in the U.S.

The Class A industrial project is a development of international real estate firm Hines, with funds managed by Oaktree Capital Management L.P. (Oaktree).

When completed, G303 will become the largest single-building Hines development to date in the U.S.

Managing Director Bill Honsaker and Senior Vice President John Lydon from the Phoenix office of JLL represented Hines in the lease transaction.

Bill Honsaker

Payson MacWilliam and Yang Chen of Colliers International represented the tenant. The Southwest Division of Graycor Construction Company serves as the project’s general contractor.

“The rise of e-commerce that we experienced during the pandemic has created a new, steady level of demand for modern logistics and supply-chain-savvy industrial space, particularly in prime geographic and demographic locations like Phoenix,” said Courtney Schneider, Director at Hines who oversees industrial development for Arizona and Colorado.

“G303 was designed to meet the needs of a modern industrial user just like MLILY. We are thrilled to welcome them.”

According to the latest JLL Phoenix industrial market report, the Valley recorded more than five million square feet of positive net absorption during the first two quarters of 2021, marking the 31^st and 32^nd straight quarters of positive Phoenix industrial absorption dating back to the second quarter of 2013.

Payson MacWilliam

“Within the Phoenix industrial market, requirements for Class A warehouse and distribution space have been particularly high – easily outpacing demand for any other type of industrial product,” said Honsaker.

“G303 was in a prime position to capitalize on that trend with a high-quality building that was designed to expand and is strategically located within the Valley’s hottest industrial corridor – at the center of a very young and diverse talent pool.”

Yang Chen

G303 is located immediately off the Loop 303 freeway between Glendale Avenue and Bethany Home Road. Conceived as a two-phase project, the building was designed with the ability to combine into a larger building for a single, significant user like MLILY.

“Hines and Oaktree wisely created scalability at G303,” said Todd Ostransky, Graycor Construction Company Vice President of the Southwest Division.

“That is a very attractive option for a company looking to plant a flag and grow in our immensely popular industrial sector and was the perfect solution for MLILY.”

Todd Ostransky

The newly completed G303 building features 40-foot clear height, 60-foot speed bays, abundant dock-high loading doors and highly functional footprints.

It features a sleek exterior design, with the ability to accommodate more than 550 cars. The project also includes a basketball court amenity for employees to enjoy during break times.

Construction on the G303 building expansion will begin during Q4 2021 and complete by Q4 2022.