Big East Bay industrial hubs land veteran buyers in separate deals

"Veteran investors have plunked down a combined $70.8 million in separate deals to buy big industrial hubs in the East Bay in a sign that buyers still like these kinds of properties despite sour times for other types of real estate. The deals, one in Livermore and the other in Alameda at a Frito-Lay site, were completed around the same time as the purchase in December of an industrial and manufacturing center in Fremont for about $93 million."

"In both instances, the purchases were completed for a price that exceeded the respective assessed values for the buildings. The Alameda building was bought at a price that was 6% above the January 2025 assessed value of $20.2 million. The two Livermore buildings were purchased for an amount that tripled their combined assessed value of $16.3 million. Bay Area industrial and logistics buildings still entice buyers because they are typically occupied by companies whose employees must work at the site rather than remotely, an outcome that helps to decrease vacancies in such properties."

Veteran investors paid a combined $70.8 million for two East Bay industrial hubs in Alameda and Livermore while a separate Fremont industrial-manufacturing center sold for about $93 million. An affiliate led by Apollo Commercial Real Estate Finance and Bridge Logistics Properties bought a Frito-Lay distribution building in Alameda for $21.5 million. An affiliate of Overton Moore Properties acquired two industrial/logistics buildings in Livermore for $49.3 million. Both purchases exceeded assessed values: the Alameda price was about 6% above a $20.2 million assessment and the Livermore sale was roughly triple its combined $16.3 million assessment. Industrial and logistics properties remain attractive because onsite operations reduce vacancy risk.

Read at www.mercurynews.com