Bay Area-based GPR Ventures is on something of a Sacramento region shopping spree, buying more than 1.1 million square feet of office and industrial space in the last 18 months.
One of the most recent acquisitions was the 167,000-square-foot flex industrial property Bradshaw Business Park in Sacramento County near Rancho Cordova. According to property records, Campbell-based GPR bought the property on Business Park Drive for $13.2 million.
"Obviously, we like the industrial quite a bit," said Phil Rolla, a co-managing principal for GPR.
About 82 percent of the space at Bradshaw Business Park was leased at the time of sale last month, and 90 percent is leased now, with Todd Sanfilippo of CBRE Sacramento handling brokerage. "It fits nicely in our industrial portfolio," Rolla said.
Escrow closed on Bradshaw Business Park in the same time period that GPR also bought Metro Center, at 2700 Gateway Oaks Drive in South Natomas. The four-building, 267,894-square-foot office complex sold for $36.8 million, according to property records.
Rolla said the sellers of that property were based in Seattle, and GPR's directors believed they could do a better job managing it. Metro Center is about 80 percent leased now, with some minor renovations planned, he said.
Those two purchases come on the heels of GPR's acquisitions earlier this year of office properties in Gold River and Sacramento's Point West area and a six-building light industrial property on Mercantile Drive in Rancho Cordova.
In recent years, Sacramento's commercial real estate sectors have improved, but unlike in GPR's home market in the South Bay, new development in the Sacramento office and industrial sectors has been minimal to nonexistent, Rolla said.
"It's an opportunity to come in with new fresh capital and buy at a reasonable price," he said. "The Silicon Valley market has accelerated quite a bit."
He said it's too soon to say whether the firm is done filling the grocery cart locally. But more investors are noticing the region's recovery, which means more potential interest in the same properties GPR Ventures seeks, he said.Download PDF