SAN FRANCISCO — Terreno Realty Corporation (TRNO), an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, has purchase an industrial property located in South San Francisco for approximately $5.3 million.
The property consists of one industrial distribution building containing approximately 30,000 square feet on approximately 1.1 acres immediately north of San Francisco International Airport and adjacent to U.S. Highway 101. The property is at 221-231 Michele Court, provides eight grade-level loading positions, parking for 28 cars and is 100% leased to one tenant. The estimated stabilized cap rate of the property is 5.9%.
Estimated stabilized cap rates are calculated as annualized cash basis net operating income stabilized to market occupancy (generally 95%) divided by total acquisition cost. Total acquisition cost includes the initial purchase price, the effects of marking assumed debt to market, buyer’s due diligence and closing costs, estimated near-term capital expenditures and leasing costs necessary to achieve stabilization.
Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S. markets: Los Angeles; Northern New Jersey/New York City; San Francisco Bay Area; Seattle; Miami; and Washington, D.C./Baltimore.