California Investors are Buying Out of State
IRVINE, CALIF. – March 24, 2015 – (RealEstateRama) — Hanley Investment Group, a nationally-recognized boutique real estate brokerage and advisory firm specializing in retail property sales, announced today that the company has completed the sale of a trophy 13,620-square-foot multi-tenant retail property situated at the entrance to Brigham Young University in Provo, Utah. The sale price could not be disclosed.
Ed Hanley, president of Hanley Investment Group, and Jeremy McChesney, a senior vice president, represented the buyer, a private investor from Los Angeles, and seller, Peninsula Retail Partners of Newport Beach, Calif., the developer of the property.
Located on 1.52 acres at the signalized intersection of University Avenue and Bulldog Boulevard, the property consists of two multi-tenant retail buildings built in 2014 that are adjacent a new CVS/pharmacy. (CVS was not part of the sale.) The property was 93 percent occupied at the time of the sale and includes tenants Noodles & Company, Rumbi Island Grill, Mooyah, Firehouse Subs, Papa John’s Pizza and Rita’s Ice.
McChesney adds, “In order to complete the transaction, we had to work with the buyer and adjacent property owner to obtain an easement. It was a delicate process that involved working with a party that was not involved in the transaction for the betterment of the deal.”
“Very few properties come on the market for sale in Provo, let alone with such a high profile location,” Hanley said.
“We were able to leverage the firm’s relationships to match the 1031 exchange buyer requirements with the seller’s needs without formally marketing the property,” said McChesney. “The buyer understood the Provo market and was very attracted to this property, the quality of the tenants, and its landmark location at the entrance to BYU.”
“This transaction is a prime example of California investors exchanging out of locally-owned retail property and buying out of state, where they feel they can get more for their money,” said Hanley.
Overall, 2015 should be another momentous year for the industry, according to Hanley. “The retail investment market continues to be strong with low interest rates, scarcity of product and record high investor demand. Lower vacancy, sustainable and increasing rental rates, along with select retail tenant growth and expansion are factors that are maintaining investor confidence. Multi-tenant retail investments continue to offer rental growth and better overall yield in today’s market.”
About Hanley Investment Group
Hanley Investment Group Real Estate Advisors is a retail investment advisory firm with a $5 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.hanleyinvestmentgroup.com.