SOUTHRIDGE PLAZA

FONTANA, CA

$20,575,000

119,359 SQ FT.

Southridge-Plaza

AT A GLANCE

  • Anchored by Rio Ranch Market and Rite Aid

  • Lost multiple tenants during escrow but completed sale with no re-trade at a 6.4% cap rate.

  • Buyer Profile: Southern California 1031 Exchange Buyer.

CHALLENGES

  • Property had environmental issues that needed to be overcome prior to closing.

  • Lost multiple tenants throughout the escrow period.

  • 38% of GLA, 21% of income generated by 8-unit grocery operator.

MARKETING STRATEGY

  • Rare opportunity to own an entire grocery, drug anchored shopping center in Southern California.

  • Low price per square foot, future ability to break up the parcel and sell pads individually to reduce basis in the property.

  • Only neighborhood grocery anchored center in trade area with excellent line-up.

RESULTS

  • Closed with 1031 exchange buyer from San Diego.

  • Completed sale with zero re-trade in price, though the NOI dropped due to multiple tenants vacating during escrow.

  • Aggressive pricing achieved at 6.4% cap, exceeded sellers pricing expectations.