IRVINE, Calif. – Faris Lee Investments, the nation’s largest retail-specialized investment advisory firm, has completed the $3,285,000 sale of an 11,814-square-foot, single-tenant retail property occupied by O’Reilly Auto Parts located at 1691 University Ave. in Riverside, Calif. The property was sold at a cap rate of 5.5 percent, representing one of the lowest cap rates paid in the country for a single-tenant auto supply store.
Shaun Riley, senior managing director of Faris Lee Investments, represented the seller, Ximeno Associates LLC from Newport Beach. The all-cash buyer, Riverosity LLC from Los Angeles, was represented by Marc Pollock and Mark Einbund of Westside Retail.
“With well-located, corporate-backed single-tenant offerings in Southern California in short supply, Faris Lee marketed this property as a unique opportunity to acquire a highly sought after real estate investment where the tenant has been successfully operating since 1995, and has ten years remaining on its current lease,” said Riley. “The demand for this caliber of property was evidenced by the high amount of investor interest as well as the low closing cap rate.”
Built in 1965 with a complete building rehabilitation in 1995, O’Reilly Auto Parts is situated on .74 acres on the corner of University Ave. and Chicago Ave. between downtown Riverside and University of California at Riverside. The asset is also between the 215 and 91 freeways which have a combined traffic count of more than 336,000 cars per day. The property is within a strong retail corridor with nearby national tenants including Food 4 Less, Dollar Tree, Walgreens, and Rite Aid.