December 22, 2020, 12:00PM
Newmark announces it has arranged the sale of the NorthBay Logistics Center, a 843,248-square-foot, cross-dock distribution building located at 700 Crocker Drive in Vacaville, CA.
Newmark’s Executive Managing Directors Andrew Briner, Bret Hardy and Jim Linn, Co-Head of U.S. Capital Markets Kevin Shannon and Vice Chairman Steven Golubchik represented the sellers, LDK Ventures and PCCP. Vice Chairman Ramsey Daya procured the financing on behalf of the buyer.
“The North Bay and greater Bay Area has significant barriers to acquire and/or build new industrial product, based primarily on its limited and diminishing land base and difficulty in obtaining entitlements for new product,” said Briner. “Given the proximity to such a large pool of residents, Solano County has quickly emerged as one of the most desired big-box industrial markets in Northern California.”
Denton Kelley, Managing Principal, LDK Ventures added, “We are very pleased with the outcome on this sale transaction and it just further demonstrates the long-term strength in the fundamentals of the Northern California industrial market.”
Situated on a 68.78-acre parcel, the newly-renovated distribution building is fully leased to Serena & Lilly (433,950 square feet) and Wineshipping (404,950 square feet). Features include large concrete truck yards, 32- to 37-foot clear heights, enhanced office areas and gated and secured access. A large e-commerce company also leases a portion of the excess land for trailer storage. NorthBay Logistics Center consists of two phases; Phase II is currently under development and slated for completion by mid-2021.
The property’s centralized North Bay market location presents access to more than 7.6 million residents located within a 60-mile radius and benefits from immediate access to I-505 and I-80, the main trucking arteries connecting Sacramento and the greater Bay Area, as well as proximity to the Port of Oakland and San Francisco, Oakland and Sacramento international airports.
While the pandemic’s effects on commercial real estate differ across property segments, industrial is on the most firm footing, according to Newmark Research. E-commerce, which drove leasing activity in the 2008 to early 2020 cycle, is more important now than ever. Availability of land to build large, modern bulk industrial within the East Bay is extremely rare, and the average size building in the I-880 East Bay corridor is less than 200,000 square feet. Befitting from the population and economic centers of San Francisco/East Bay and Sacramento, Vacaville offers businesses an enviable transportation infrastructure for goods movement and employee commutes. Recent tenants to have migrated from the East Bay to Vacaville to benefit from its logistics and labor force advantages. Vacaville’s diverse economic base, strong workforce, strategic location and cost of living have helped shape the community into an up and coming force, and one of the most attractive and competitive cities in Northern California.
About Newmark Group, Inc. (NASDAQ: NMRK)
Newmark Group, Inc. is a world leader in commercial real estate services, with a comprehensive suite of investor/owner and occupier services and products. Our integrated platform seamlessly powers every phase of owning or occupying a property. Our services are tailored to every type of client, from owners to occupiers, investors to founders, growing startups to leading companies. Harnessing the power of data, technology and industry expertise, Newmark brings ingenuity to every exchange, and imagination to every space. Together with London-based partner Knight Frank and independently owned offices, our 18,800 professionals operate from approximately 500 offices around the world, delivering a global perspective and a nimble approach. In 2019, Newmark Group, Inc. generated revenues in excess of $2.2 billion. To learn more, visit nmrk.com or follow @newmark.
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