Alere Property Group, a leading developer and investor of industrial real estate in Southern California, today announced its acquisition of Freeway Business Center, a new state-of-the-art industrial warehouse facility located in Riverside, Calif. The fully leased Class A asset lies along Interstate 215, offering significant visibility and accessibility in one of the nation’s most sought-after industrial real estate and logistics submarkets. Completed in 2021, the building offers modern features and complements Alere’s established portfolio of over 20 million square feet of industrial real estate in the Inland Empire West and East submarkets.
The property is leased to UNIS, LLC, a national third-party logistics provider, through August 2028. Terms of the sale transaction are not disclosed.
“Alere is pleased to round out 2021, a remarkable and historic year for Alere and the industrial real estate sector, with the acquisition of Freeway Business Center,” said Michael Del Santo, senior vice president of portfolio management at Alere. “The property is a trophy asset in a highly desirable Inland Empire location, in a submarket with significant barriers to entry and limited new development options. Our team is proud to add another high-quality asset to Alere’s robust Southern California portfolio.”
Freeway Business Center consists of a 709,000-square-foot single-tenant building featuring 36-foot clear height, 8,400 square feet of office space, ESFR and drive-around access. There are 109 dock high doors, offering abundant loading from two sides of the building, and a large secure concrete truck court that stretches up to approximately 300 feet. Truck access is along a quiet street with two queuing lanes, a valuable feature for high-volume users. The building also has the flexibility to demise into two suites.
Freeway Business Center is located at 2677 E. Alessandro Boulevard, at the northwest corner of March Airforce Base. Adjacent on/off ramps at Alessandro Boulevard and Cactus Avenue provide easy access to the I-215 freeway and Southern California’s vast transportation network. The 39-acre property features over one-half mile of freeway frontage and is located less than two miles south of the SR-60 freeway interchange. Corporate neighbors include significant tenants such as Amazon, UPS, Home Depot, Proctor & Gamble, Ross Stores, Lowe’s and many others.
The Riverside/Moreno Valley/Perris (“RMP”) industrial real estate submarket offers an attractive mix of proximity to the ports of Long Beach and Los Angeles, reasonable drayage costs, quality infrastructure and access to a large blue collar labor force in western Riverside County. The rise of e-commerce continues to increase demand for industrial real estate as same-day and next-day delivery expectations are driving warehouses closer to customers. In 2020-2021, over 7.2 million square feet were absorbed in the Inland Empire East, shrinking overall vacancy to only 2.1%, and 0.9% in the Riverside submarket, according to Cushman & Wakefield.
“Large industrial buildings are increasingly difficult to secure in the core Inland Empire submarkets, and Alere’s team continues to aggressively pursue long-term investment opportunities that meet our criteria,” added Alan Carmichael, senior vice president of investments at Alere. “Alere currently owns approximately 2.5 million square feet in the RMP submarket and is looking to expand its property holdings in the area. With steep competition from institutional investors and a scarcity of large developable parcels, along with various entitlement headwinds that could limit future supply, Alere remains focused on acquiring the highest quality assets in prime locations throughout the region.”
Alere is grateful for the efforts of Jeff Chiate, Jeffrey Cole, Mike Adey, Ed Hernandez, Brad Brandenburg and Matt Leupold of Cushman & Wakefield for representing Alere in this transaction.
Alere is currently in development on five ground-up industrial projects over 1 million square feet in Southern California. Heading into 2022, Alere continues to seek core and value-add investment opportunities throughout Southern California, in addition to large-scale ground-up development opportunity es ranging from 25,000 to over 1 million square feet.
About Alere Property Group
Founded in 2003, Alere Property Group is one of the largest and most established owners of industrial real estate in Southern California with a robust portfolio of over 30 million square feet of high-quality industrial space. The Newport Beach-based company is an efficient, vertically integrated operation with capabilities spanning all functions of investment and development. Focused on creating long-term value, Alere builds sleek and modern industrial facilities that exceed expectations in design, functionality and efficiency in locations critical to meeting the complex needs of the world’s most sophisticated e-commerce, distribution and manufacturing corporations. For more information, visit alerellc.com. Follow the company on LinkedIn.