Done Deals: Jan 27, 2024

Saturday, January 27, 2024

JLL Capital Markets handles $24 million sale of the 151,709-SF Tri-City Center, located within a prime retail corridor in San Bernardino, CA

Bryan Ley

LOS ANGELES, CA – JLL Capital Markets has closed the $24.325 million sale of Tri-City Center, a 151,709-square-foot shopping center in San Bernardino, California.

JLL represented the seller, Unilev Capital, and DPI Retail acquired the asset.

Built in 1987, the 100-percent-occupied center is anchored by a 24-Hour Fitness and Curacao, and additional tenants include Pollo Campero, Poke Bar, Barber, Cantos Jewelers and Pet World.

Over 70% of the GLA is occupied by tenants that have operated at Tri-City Center since 2005 or earlier.

The property is located adjacent to the Interstate 10 Freeway, which offers visibility to over 200,000 cars per day, and is 0.4 miles from the Waterman Avenue on/off ramp. It is strategically positioned at the center of the submarket’s primary retail corridor and is surrounded by highly desirable retailers, including Costco, Sam’s Club and Home Depot.

Tim Kuruzar

The property is also adjacent to the Tri-City Corporate Center, one of the largest office complexes in the trade area with over one million square feet across 17 Class A and B office buildings.

In addition, within a five-mile radius of the center is a customer base of 253,000.

The JLL Retail Capital Markets team that represented the seller was led by Managing Director Bryan Ley and Senior Director Tim Kuruzar.

“Tri-City Center has been a great investment; besides its consistent performance," said Raymond Levy, President of Unilev. "We have enjoyed the business relationship we developed with our major tenants.

Raymond Levy

"We thank Bryan and Tim for their guidance and assistance from our acquisition in 2019 to the sale in 2023.

"We also wish the very best for the new ownership and a special thanks to our team, Ian Konowitch, Peter Berges and Roxana Boiero of Unilev Capital who oversaw the successful execution of our business plan.”

Ley added, “Tri-City Center was a great sale that demonstrated not only the strong demand from private and high net worth investors for well-located retail real estate today but also the strength of gym-anchored properties with regional tenancy as major traffic draws.”

Roxana Boiero

Also, noted Kuruzar, “The rapid rise in interest rates in 2023 highlighted the yield profile of Tri-City and bolstered the desirability of attractive in-place assumable financing. Combined with the freeway adjacent location and stickiness of the current tenancy, we expect Tri-City and like-kind assets to continue to perform well into the future.”

Fred Vitt

“First and foremost, congratulations to all parties involved on the completion of this strategic move," said Fred Vitt, President of DPI Retail.

Ian Konowitch

"Tri-City Center, with its prime location and diverse tenant composition, not only enhances but fortifies our expanding footprint within the dynamic Tri-City submarket.

"We recognize the significance of this addition to our portfolio and are enthusiastic about the prospects it brings.

"As we move forward, we're dedicated to maintaining and surpassing the high standards set by the previous ownership, ensuring Tri-City Center's continued success under our stewardship.”