LOS ANGELES, July 2, 2021 /PRNewswire/ — An affiliate of Optimus Properties, LLC has completed the purchase of a 17,000 square foot property in East Sacramento, currently triple-net leased to a Rite Aid, who has roughly 7 years remaining on their lease. The going in cap rate on this deal, combined with the current low interest rate environment, will generate a substantial cash on cash return in excess of 10% a year.
K. Joseph Shabani, Principal at Optimus Properties noted, “Optimus underwrites hundreds of opportunities every year that align with our strategy of value-creation and capital preservation. It’s not every day that quality assets like this with such attractive risk-adjusted returns and solid going-in fundaments become available. When they do, we like to know about them, and we’re prepared to move quickly.”
The property is in a dense and upscale single family residential area, with residents providing significant local foot traffic and major thoroughfares nearby. David Ghermezian, senior managing director at Newmark, represented both Buyer and Seller.
This purchase, along with the recent acquisition of a commercial property leased by Bank of America in Southern California, officially completes the buyers 1031 exchange for a sale which occurred three months prior.
Optimus and its affiliates are currently in escrow to close on three additional deals totaling 175 multi-family units in Los Angeles and Portland, with plans to add 300 more to their Portland Portfolio in the next 12 months. Optimus is actively looking for additional value-add, ground-up, or distressed note deals and has three other offers out on various deals.
About Optimus Properties
Optimus Properties, LLC is headquartered in Los Angeles, California, and is engaged in the acquisition, development, leasing and management of multi-family, retail and commercial real estate. The Company employs a disciplined investment approach focused on value creation and capital preservation. The Company’s investments are characterized by direct principal involvement and a meaningful contribution of its principals’ capital. The Company’s current portfolio consists of retail, office, medical office and multi-family properties in California, Washington, Oregon and New Mexico.
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SOURCE Optimus Properties, LLC