Newport Beach, Calif. (February 5, 2021) – SRS Real Estate Partners’ Investment Properties Group West has announced the $9 million sale of a Towne Square West, located at 2220 E. Palmdale Boulevard in Palmdale, CA (Los Angeles County). The value-add property was 83 percent occupied at the close of escrow with tenants including Goodwill, LA Care, Aaron’s, Tokyo Steakhouse and La Palma Restaurant. Other tenants at the property that were not a part of the sale include Superior Grocers, 99 Cents Only and Crunch Fitness.
SRS Senior Vice Presidents Chris Tramontano and John Redfield represented the seller, a Los Angeles-based private investor. The buyer, a private investor from Los Angeles was represented by Joelle Kim of Westside Luxury Real Estate.
Built in 1989 and situated on just under eight acres of land, the sold portion of the neighborhood center totals 56,309-square feet.
“There were multiple challenges to overcome in order to complete the sale of this asset,” said Tramontano. “The biggest hurdles were securing financing and the government-mandated COVID restrictions that significantly impacted many tenants within this property. After working with several potential lenders, we were able to assist in locking in short-term bridge financing that allowed the buyer to close escrow as well as use some funds to commence implementing its lease-up and repositioning strategy.”
Redfield added, “Both the buyer and seller showed great patience and problem-solving abilities throughout the transaction. It was a true team effort in all aspects of the deal from the debt to the property level.”
The property is located in an Opportunity Zone, providing tax benefits for the property owner. It is also well-located in a densely populated area with more than 142,000 residents and 30,000 employees within a five-mile radius. It is across the street from Antelope Valley College, adjacent to Palmdale High School and is on a major thoroughfare just off Aerospace Highway. Other nearby retailers include Super Target, The Home Depot, Ross, Vallarta Supermarkets, and Harbor Freight Tools, among dozens of others.
SRS’ National Net Lease Group experienced explosive growth in 2020, and plans to continue expansion of its teams across the country in 2021. Despite the COVID-19 crisis, SRS’ transaction volume was up 26 percent in 2020 year as compared to 2019. SRS’ National Net Lease Group and the western region of SRS’ Investment Properties Group successfully completed 534 transactions in 2020 valued at more than $1.9 billion.
Additionally, the group has more than 500 individual assets under LOI or in escrow and $1.8 billion in assets currently listed for sale. The National Net Lease Group has more than 50 net lease professionals nationwide, all collaborating on one central platform, with leadership, underwriting, and marketing efforts strategically located in Southern California.
About SRS Real Estate Partners
SRS Real Estate Partners is the largest real estate company in North America exclusively dedicated to retail services. Headquartered in Dallas with more than 25 offices worldwide, SRS’ strong reach and international presence provide the company with unparalleled knowledge both globally and domestically. As a result, clients of SRS have a competitive edge through a full range of offerings including brokerage services, corporate services, development services, and investment services. Since its inception in 1986, SRS has built a strong foundation in the retail real estate world and grown into one of the industry’s most influential and respected leaders. Our success is measured in the achievement of our clients’ objectives, satisfaction and trust. For more information, please visit www.srsre.com.
SRS’ Investment Properties Group (IPG) & National Net Lease Group (NNLG) is a unified platform of seasoned net lease professionals located and transacting nationally with all underwriting and marketing efforts strategically located in Southern California. In 2019, the group completed more than 400 sales across more than 35 states and has over 50 NNLG professionals nationally. From proactive sales to targeted acquisitions and tailored debt and equity solutions, SRS’ National Net Lease Group offers comprehensive services to net lease owners and investors. Superior speed-to-market, world-class marketing materials, a deep investor database and unparalleled retail submarket intelligence from the entire SRS platform allow SRS’ National Net Lease Group to deliver the best possible returns. For more information, please visit srsnnlg.com.