ALDI and OSH-Anchored Center Sells in La Verne
LA VERNE, Calif. – (RealEstateRama) — Hanley Investment Group Real Estate Advisors, a nationally-recognized real estate brokerage and advisory firm specializing in retail property sales, announced today that the firm has completed the sale of La Verne Courtyard, an 84,368-square-foot shopping center anchored by ALDI and Orchard Supply Hardware (OSH) in La Verne, California. The purchase price could not be disclosed.
President Ed Hanley along with Hanley Investment Group Executive Vice Presidents Bill Asher and Kevin Fryman represented the seller, a private investor based in West Hollywood, California. The buyer, a private investor from Arcadia, California, was represented by Wendy Wong and Katherine Quach from Treelane Realty Group of Temple City, California.
“This sale highlights the continued demand for well-located grocery-anchored shopping centers leased to internet-resistant tenants,” said Asher. “We sourced the buyer through a Hanley Investment Group broker relationship and helped the broker and their client procure a multi-tenant shopping center investment their client had been seeking after owning mostly a portfolio of single-tenant net leased assets.”
“We were able to structure a mutually beneficial transaction for both parties, including obtaining a five-percent premium in pricing compared to the other offers we procured on the asset,” said Hanley.
Built in 2000, La Verne Courtyard shopping center is located on 7.30 acres at 2204–2278 Foothill Boulevard at the corner of Foothill Blvd and White Avenue, the most well-traveled intersection in the city of La Verne with an average daily traffic count of approximately 42,500 cars per day. Other national tenants located at the intersection include Target, Kohl’s, Marshalls, Staples, Chipotle, El Pollo Loco, Jimmy John’s, McDonald’s, Panda Express, Panera Bread, Starbucks and Wingstop.
La Verne Courtyard featured 97 percent national and regional tenants including ALDI, Orchard Supply Hardware, Jersey Mike’s Subs, Pacific Dental, OneMain Financial, Pizza Hut and Rubio’s. According to Fryman, most of the current tenants had either executed new leases or extended their existing leases since 2012 providing the buyer with a secure and stable investment with an attractive historical occupancy history.
“The sale is also a reflection that investors are continuing to have a better understanding of ALDI as a competitive grocer in the Southern California market,” said Asher. “ALDI continues to expand and open new stores; going head to head with Walmart to cater to the discount, low price minded consumers. Investors are getting more comfortable that they are here to stay and won’t be a flash in the pan grocer like Fresh and Easy.”
A leader in the grocery retailing industry since 1976, ALDI operates more than 1,700 U.S. stores in 35 states. More than 40 million customers each month benefit from the ALDI simple and streamlined approach to retailing. ALDI sells the most frequently purchased grocery and household items, primarily under its exclusive brands, which are designed to meet or exceed the national name brands on taste and quality. ALDI is so confident in the quality of its products, the company offers a Double Guarantee: If for any reason a customer is not 100 percent satisfied with any ALDI food product, ALDI will gladly replace the product and refund the purchase price. For the seventh year in a row, ALDI was recognized as a value leader among U.S. grocery stores by a Market Force Information® survey of U.S. consumers. ALDI operates 1,750 stores in 35 states, including 55 stores in Southern California. ALDI plans to add another 180 stores this year as it works toward its goal of reaching 2,500 stores by 2022.
Hanley also noted the company is actively looking for a 1031 exchange property for the seller to purchase that fits the seller’s investment parameters of a retail property in Los Angeles County with a value-add or repositioning component. Contact Ed Hanley to present opportunities or with any questions about the investment criteria.
About Hanley Investment Group
Hanley Investment Group Real Estate Advisors is a retail investment advisory firm with a $6 billion transaction track record nationwide, who works closely with individual investors, lending institutions, developers, and institutional property owners in every facet of the transaction to ensure that the highest value is achieved. For more information, visit www.hanleyinvestment.com.
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