IRVINE, Calif., August 2nd, 2022 - Faris Lee Investments, a leading retail advisory, and investment sales firm arranges the $17.3 million sale of La Verne Plaza, a stabilized Stater Brothers and In-N-Out Burger retail shadow-anchored shopping center in the dominant trade area of La Verne, CA
Shaun Riley, Managing Principal, and Nick Miller, Director at Faris Lee Investments represented the seller in the transaction and procured an all-cash buyer from the San Gabriel Valley.
The property, located on Foothill Blvd., one of the strongest retail destinations and highest-trafficked streets in the trade area, is one of the only three grocery-anchored centers in the area. It is positioned within La Verne’s primary retail corridor with national credit retailers including Target, Marshalls, Ross, Vons, Safeway, Sprouts, CVS, Starbucks, In N Out, Stater Brothers, and 99 Cents Only.
Faris Lee's marketing strategy focused on the tenant’s long-term historical occupancy, the growing income stream, and the excellent location with affluent demographics. All major tenants had long-term leases which provided an investor with long-term stability and an opportunity to increase their net operating income over time as 65% of the occupied square footage contained annual rent increases.
“Having generated 16 offers, this transaction is case-in-point that despite interest rate headwinds and general economic concerns, investors still view ownership of well-located shopping center investments as a viable long-term investment. At the end of the day, a strong location and growing income stream offset concerns about interest rates and inflationary pressure.” said Shaun Riley.
Faris Lee targeted private investors and family offices with a particular focus on investors residing in the San Gabriel Valley. Faris Lee produced strong and immediate interest despite the market experiencing pricing headwinds due to continued interest rate increases. The commercial real estate transaction closed all-cash at a 4.30% Cap Rate on actual income and a 5.40% Cap Rate on pro forma income, with a buyer from the San Gabriel Valley.
About Faris Lee Investments: Faris Lee Investments is a retail brokerage advisory firm founded in 1996 and is based in Irvine, California. The firm specializes in commercial real estate investment sales, brokerage, and advisory services. In addition, the firm provides a national marketing platform of properties for sale, asset appraisal, property valuation, debt structuring, negotiation, market research, and analysis services. Faris Lee combines underwriting and research that exceeds industry standards with a marketing strategy to transform investment potential, enhance value and provide their clients the competitive advantage needed when making investment decisions. The firm also serves as institutional advisors in the areas of acquisitions and dispositions, merchant banking, distressed asset disposition, private equity, and corporate sale-leaseback. For more information, visit www.farislee.com