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Penwood Real Estate Investment Management Announces the Acquisition of 800 & 950 Iowa Avenue and 1151 Palmyrita Avenue in Riverside, CA
Hartford, CT – September 10, 2010 – Penwood Real Estate Investment Management, LLC (Penwood) through a joint venture between Penwood Select Industrial Partners II, L.P. and The Magellan Group, announced today the acquisition of two industrial buildings on Iowa Avenue and Palmyrita Avenue in Riverside, California. The property closing is the third value-added investment acquired by Penwood Select Industrial Partners II, L.P.– a closed-end fund.
The new acquisition comprises three contiguous parcels totaling 31.2 acres and single-story industrial space of 405,000 square feet. The 98,000 square- foot building is rail served and 100% leased to Ancon Marine. The 307,000 square- foot building is vacant and will be rehabilitated and marketed for lease and/or sale. The property is located within the desirable Hunter Industrial Park in the City of Riverside, one-half mile east of the Riverside Freeway (I-215) and two miles north of the Moreno Valley Freeway (SR-60).
“The central location and attractive pricing attracted us to the opportunity,” stated Richard Chase, Head of Acquisitions at Penwood. “The buildings are extremely functional and the property is rail served with large storage yards. We expect significant user interest after an upgrade to the facility and landscape improvements,” added Christine Kubas, Vice President of Acquisitions at Penwood.
Martin Slusser, Principal and Co-founder of The Magellan Group, notes, “The asset was acquired in a distressed situation. The all – in cost provides the partnership with flexibility in attracting users for the space.” Kevin Staley, Principal and Co- founder of The Magellan Group, adds, “The planned road improvements within Hunter Park and the widening of Iowa Avenue will only enhance the appeal of and access to the property.”
Karen Nista, Head of Asset Management at Penwood adds, “In addition, the relatively low cost of electricity produced by the power generating company owned by the City of Riverside will provide further incentive to attract potential tenants.”
Penwood’s investment focus remains on the Southern California industrial market due to the diverse demand generators, inherent supply constraints, dominant seaports, and unparalleled transportation infrastructure.
Penwood is an entrepreneurial real estate investment advisory firm dedicated to managing value-added real estate investments for the institutional market. Formed in 2003, the firm is a registered Investment Adviser based in Hartford, CT. Penwood combines experienced investment management with the local-market expertise of established strategic relationships and a disciplined management process to optimize value for investors. Penwood is currently focused on value-added investments through the redevelopment, reposition, and rehabilitation of industrial property in major seaport markets.
The Magellan Group, Inc., founded in 1990 and headquartered in Los Angeles, has grown into a leading Southern California real estate investment and development firm with in-house acquisition, development, finance, leasing, and property management expertise.
Since its inception, Magellan has acquired and developed over 3.5 million square feet of industrial, self-storage, and aviation properties throughout Southern California with a total capitalization in excess of $400 million. By successfully leveraging its experience and by conducting business consistent with its values, Magellan has consistently delivered outstanding projects to local communities and excellent returns to its investors.
For information about Penwood, contact John Hurley at firstname.lastname@example.org.