In a recent Inland Empire retail investment buy, Southridge Plaza, a 119.4k sf grocery/drug-anchored retail center in Fontana, traded for $20.675 mil ($174/sf). Built in 1991, Southridge Plaza sits on 12.7 acres at 11617 Cherry Ave, at the intersection with Live Oak Ave.
The center is nearly 100% occupied by Rio Ranch Market, along with a well-rounded tenant mix of daily needs retailers including Rite Aid, AutoZone, McDonald's, Subway, Waba Grill and Cricket Wireless.
Donald MacLellan, Nicholas Coo and Joseph Chichester with Faris Lee Investments represented the seller, Fortress Investment Group, a private equity fund. They also repped the San Diego-based buyer, Fontana Southridge Partners LP.
“This asset is the only neighborhood retail center serving the trade area which was very attractive to potential buyers,” said MacLellan. “Additionally, both Rio Ranch Market and Rite Aid had recently renovated and remodeled their stores adding further value to the quality asset. We had a strong amount of interest in the property and garnered multiple offers. The buyer, which is a family office, is planning to hold for the long-term as a cash flow play.”
MacLellan added: “Rio Ranch Market isn’t a national credit grocery brand, however, with eight stores open currently, it is one of Southern California’s stronger Hispanic supermarket chains. It has been doing extremely well in the local market which has a growing Hispanic demographic.”