By Evelyn Jozsa
A joint venture of Alex Brown Realty Inc. (ABR) and CIP Real Estate (CIP) has purchased the Eden Landing Business Park, a 195,044-square-foot flex industrial asset in Hayward, Calif. ABR Chesapeake Fund V, a value-add real estate fund sponsored by ABR, invested $9.7 million in the joint venture. Financing was provided by Wells Fargo.
Located at 26235 Research Road, in the East Bay, Eden Landing provides access to state route 92 and the San Mateo Bridge as well as to the San Francisco, San Jose and Oakland airports. The 10-building business park is spread over an 11-acre site featuring industrial and office components ranging in suite size between 200 and 7,000 square feet.
The joint venture plans to begin value-add improvements to the property. “The business plan contemplates $2 million in capital improvements,” said Eric Smyth, principal & co-founder of CIP, in prepared remarks. “Once complete, Eden Landing will be positioned to better compete with its competitive set, or even outperform it.”
High occupancy rate
At the time of the sale the asset was 94 percent leased to 105 tenants representing a diverse range of industries. The multiple buildings and suite sizes allow leasing flexibility and provide the tenants the opportunity to expand their portfolios.
“Hayward’s industrial market is very healthy, with a low vacancy rate and limited new supply. We anticipate tenant demand and rental rate growth to remain strong,” said Tom Burton, chief investment officer of ABR, in prepared remarks.
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