SR Commercial Buys in Tight Temecula Industrial Market
SR Commercial has headed about an hour north for its latest buy, with the firm picking up a 101k SF multi-tenant industrial property at 26201 Ynez Rd in Temecula. The building is leased to Get Air (an indoor trampoline park) and Mountain View Community Church. SR Commercial paid nearly $7M for the property, or just shy of $70/SF.
SR Commercial's Adam Robinson (here with partner CJ Stos) says the Temecula industrial market has a 5% vacancy rate, but industrial spaces 20k SF or smaller are closer to 2%. "For that reason, when the church concludes its lease, we plan to divide that space into two or three smaller units and lease those to more conventional industrial or showroom tenants,” Adam says. As we told you earlier this month, SR also is working a strategy shift into spec development.