Brad Idleman, Andrew Gibson, Bob Gilley, Kevin Moul, and Andy Zighelboim of Colliers International’s Institutional Capital Markets represented the seller, WHAL Properties. Thomas Walcott of Colliers Sacramento represented the buyer, Robert Cook, who was in the process of a 1031 exchange and preempted the marketing process by acquiring the property before it went out to the rest of the market.
“This sale came about as a result of the culture of collaboration. Each member of the team was instrumental in bringing this sale across the finish line,” said Bob Gilley, executive vice president for Colliers West Coast Institutional Markets team. “Colliers is proud to have accelerated success on behalf of both the buyer and seller in this transaction. The new owner has tremendous potential with these assets and will be able to push rents and increase occupancy and income in the coming years.”
Jason Rutherford and Kris Reilly represented WHAL Properties in the leasing of the eight-property portfolio (full list of properties below). The properties were approximately 80 percent leased at the time of sale and in-place rents are generally below market, providing a value-add opportunity for the new owner. Four of the eight buildings are fully leased and there is currently 34,000 square-feet of available space across the portfolio. The office buildings are Class B/C quality and were delivered from 1977 to 1996.
The sale closed on June 10, 2020 and at a total square footage of approximately 170,000 square-feet, the sale price equates to $139 per square-foot. The cap rate comes to about 6 percent. The properties are located in the Highway 50 Corridor; East (Gold River), Campus Commons, and Howe/Fulton/Watt Avenue submarkets.
The eight office properties totaling approximately 170,000 square-feet are below.
- 11341 Gold Express Dr, Gold River, CA
- 11249 Gold Country Blvd, Gold River, CA
- 11211 Gold Country Blvd., Gold River, CA
- 11335 Gold Express Dr, Gold River, CA
- 800 Howe Ave, Sacramento, CA
- 3604 Fair Oaks Blvd, Sacramento, CA
- 3626 Fair Oaks Blvd, Sacramento, CA
- 3620 Fair Oaks Blvd, Sacramento, CA
About Colliers International
Colliers International (NASDAQ, TSX: CIGI) is a leading real estate professional services and investment management company. With operations in 68 countries, our more than 15,000 enterprising professionals work collaboratively to provide expert advice to maximize the value of property for real estate occupiers, owners and investors. For more than 25 years, our experienced leadership, owning approximately 40% of our equity, has delivered compound annual investment returns of almost 20% for shareholders. In 2019, corporate revenues were more than $3.0 billion ($3.5 billion including affiliates), with $33 billion of assets under management in our investment management segment. Learn more about how we accelerate success at corporate.colliers.com, Twitter @Colliers or LinkedIn.
Allison + Partners Northern California