August 31, 2023 9:00 AM
Newmark1 announces it has facilitated the sale and financing of Bayside Industrial Portfolio, a 14-building, 352,280-square-foot portfolio located in Fremont, the East Bay portion of the San Francisco Bay Area. The assets sold for $103.5 million.
Newmark Executive Vice Chairman and President, Western Region Capital Markets Steven Golubchik, Vice Chairman Edmund Najera, Senior Managing Director Jonathan Schaefler and Director Darren Hollak represented the seller. Newmark Vice Chairman Ramsey Daya, Executive Managing Director Chris Moritz of Newmark’s Debt and Structured Finance group arranged $63 million in acquisition financing, in the form of debt, on behalf of the buyer, CIP Real Estate.
“The Bayside Portfolio continues to benefit from robust tenant demand in a tightening market with minimal competitive product available for lease,” said Golubchik.
Daya commented, “With incredible historic performance, along with CIP’s best-in-class management, we were pleased to see so much interest from both banks and life insurance companies for the acquisition financing.”
The portfolio, which was 91% leased at the time of sale to 80 tenants, features highly flexible industrial space ranging in size from 2,500 to 25,000 square feet. Centrally located in the East Bay market, the property is proximate to the 680 and 880 freeways, providing easy access to the greater San Francisco Bay Area and primary freight routes. Building features include clear heights of 16’, ample power distributed throughout the campus, truck courts with depths up to 140’ and a mix of both at-grade and dock-high doors.
Fremont is one of the fastest-growing life science and GMP submarkets in the region, and, as such, life science conversions continue to displace industrial tenants. Existing product, like the Bayside Industrial Portfolio, has captured industrial tenant demand within a declining industrial supply base. By appealing to a wide range of tenants, the property has maintained an average occupancy of 91% since 1997.
1 Dba Newmark Knight Frank in California
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark’s comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform’s global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. For the year ending December 31, 2022, Newmark generated revenues of approximately $2.7 billion. As of June 30, 2023, Newmark’s company-owned offices, together with its business partners, operate from approximately 170 offices with over 7,400 professionals around the world. To learn more, visit nmrk.com or follow @newmark.
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