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The Bendetti Company Announces New Acquisitions In California And Nevada

22-Apr-2015

Southern California Commercial Real Estate Investment and Management Company Reports Early Successes of its Recent Value-Add Acquisitions

IRVINE, Calif. – The Bendetti Company (Bendetti), a Southern California commercial real estate investment company, today announced two recent Value-Add acquisitions to its investment portfolio. In August 2014, Bendetti acquired a 65,000-square-foot industrial property in Paramount, Calif., and in December 2014 acquired a 200,000-square-foot industrial property adjacent to the Las Vegas strip.

“We own industrial properties in both regions, and were fortunate to have these opportunities presented to us before they went to market,” says Robert Bendetti, president of the Bendetti Company. “When you get a first look and the returns make sense, you have to demonstrate your ability to close quickly in what has become an extremely competitive seller’s market.”

Both properties were presented through brokers with whom Bendetti has built strong relationships. “Part of that process includes proving our experience in navigating through complicated and unique transactions, communicating a clear understanding of the product type we are chasing and placing a high priority on protecting that representation,” adds Bendetti.

Paramount, Calif. – The Bendetti Company Closes on a 65,000-square-foot Industrial Park

Bendetti purchased the 65,000-square-foot Paramount Texaco Industrial Park as a Value-Add opportunity. At the time it was acquired by Bendetti, the property was 60 percent vacant with a poor quality tenant mix, mostly due to the physical condition of the properties and a relaxed approach to ownership by out-of-state investors. Bendetti was able to purchase the property at a price which took all these factors into account. Bendetti quickly sought out to fix the inefficiencies through both renovation and an adaptive re-use, based upon an understanding of the market.

Renovations were completed ahead of schedule, under budget and the project is now 100 percent occupied at strong market rates. “It took an intense focus and commitment to have achieved these exceptional results in a short amount of time,” says Bendetti.

Las Vegas – The Bendetti Company closes on a 200,000-square-foot Industrial Park

Bendetti purchased the 200,000-square-foot, 130-unit Valley View Business Park in Las Vegas as another Value-Add opportunity. The five-building project had below-market rental rates and a lower occupancy than competing projects at inferior locations. There was some physical obsolescence and many vacant units that had not yet been refurbished.

“It is important to get in and re-tenant space quickly after it becomes vacant, otherwise it will typically take longer to attain what will likely be a lesser quality tenant at rates below market,” says Bendetti. “The rates at Valley View should have been at or above the rates at competing projects, considering its prime location next to the Strip, with immediate access to major transportation corridors.” Bendetti underwrote an extensive rehab and reposition of the project.

“We are coming in and doing what we promised in order to execute our business plan for Valley View,” says Bendetti. The buildings are in the process of undergoing interior and exterior renovations. The tenants along Valley View Boulevard enjoy a strong traffic count and great exposure, and these renovations will increase signage creating additional exposure. Tenants that desire retail and are willing to pay a premium for high visibility will be attracted to this property.

“These acquisitions are a huge commitment and take time and resources many institutional investors are not interested in undertaking,” adds Bendetti. “That is our niche. The opportunity to convert Value-Add projects into Core Plus investments does not arrive on our doorsteps every day. It takes strong broker relationships and a granular perspective of the market, plus the energy to commit resources. This is where we like to compete.”

ABOUT THE BENDETTI COMPANY: The Bendetti Company is a Southern California-based commercial real estate company which focuses on the investment and management of commercial properties in the western U.S. Founded in 1964, The Bendetti Company looks for Value-Add or Core Plus investment opportunities to achieve superior risk-adjusted returns for clients and investors. For more information visit www.bendetti.com

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Media Contact: Leslie Licano, Beyond Fifteen Communications, Inc. 949.733.8679, leslie@beyondfifteen.com