Westcore Properties Acquires 172,500-Square-Foot Industrial Property in Stockton
Acquisition reflects continued migration of Bay Area industrial users inland for product and price
Stockton, California (November 7, 2016) –Westcore Properties, an active investor in industrial and office properties throughout the Western United States, acquired a 172,500-square-foot industrial property, located at 4545 Qantas in Stockton, California, from the Sacramento-based Friedman Family for approximately $6 million.
The acquisition represents Westcore’s continuing strategy to provide its coastal California tenants lower cost options for their distribution and manufacturing operations. Combined with Westcore’s recent entry into the industrial real estate markets of Seattle, Reno and Phoenix, the Stockton purchase provides the company’s client base a seamless real estate strategy to expand into growing industrial markets.
“With Stockton’s close proximity to San Francisco, Silicon Valley and Sacramento, it’s a strategic satellite location for many of our existing tenants,” said Peter Mette, director of acquisitions at Westcore Properties. “We are excited to grow our Stockton portfolio with a building that provides a strong current return from an existing lease and promising potential for the future.”
The building is 100 percent leased to PacTiv for three years. Robert Taylor and Tim Mustin of JLL represented the seller in this transaction.
“Stockton is a recovering industrial market benefiting from the e-commerce boom as well as manufacturing across multiple industry sectors,” said Taylor, executive vice president at JLL.
According to JLL research, 820,444 square feet of space was absorbed in the Central Valley’s industrial market in the third quarter, the seventh consecutive quarter with absorption over 500,000 square feet. Tenant demand in the area is currently estimated to be 2.425 million square feet.