SALE OF BUILDING OCCUPIED BY COUNTY OF SAN BERNARDINO FETCHES $13.5 MILLION
Hanley Investment Group Real Estate Advisors, a nationally recognized real estate brokerage and advisory firm specializing in retail property sales, announced today that the firm arranged the sale of a single-tenant building occupied by the County of San Bernardino located at 265 East 4th Street in San Bernardino, California. The sale price was $13,450,000.
Hanley Investment Group represented both the buyer and the seller. Hanley Investment Group’s Executive Vice President Matt Burnett represented the seller, a private investor based in Los Angeles, and President Ed Hanley represented the buyer, The Krausz Companies, Inc. in Irvine, California.
The two-story, 50,082-square-foot building, built in 2009, sits on 4.62 acres at the southwest corner of the signalized intersection of 4th Street and Waterman Avenue.
Waterman Avenue is one of the main trade area thoroughfares with more than 23,000 cars passing the site daily. More than 348,000 people live within five miles of the site and the Ontario International Airport (ONT) is just a seven-minute drive from the building.
“This was a very rare government secured lease, with no early cancellation provision,” said Burnett. “Hanley Investment Group procured a 1031 exchange buyer who understood the value of this property and its excellent fundamentals with a best-in-class tenant that is internet- and COVID-resistant.”
According to Burnett, “Need-based government services such as this offer stability in the face of growing online sales as well as potential economic instability.”
The County of San Bernardino has an AA credit rating from Standard & Poors (S&P) and an AAA credit rating from Fitch. The property had no deferred maintenance and is LEED-certified.
Burnett noted that the Inland Empire had the highest job growth rate in California and the highest home price growth in Southern California. The County of San Bernardino is home to more than 2.1 million residents with a 28% projected growth rate over the next 25 years.
Located within Southern California’s Inland Empire, the County of San Bernardino is the 14th most populous county in the United States and the largest in the country by area. It is comprised of 24 incorporated cities.
The county is led by a Board of Supervisors and Chief Executive Officer who are responsible for all areas of the county including education, environment, housing, image, infrastructure, jobs/economy, quality of life, public safety, water, and wellness for its residents.
Hanley Investment Group has sold 32 retail properties since COVID-19 was declared a pandemic.