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Graceada Partners Completes Sale of Northern California Multi-Tenant Industrial Property for 33% IRR

Success of the sale reinforces the firm’s strategy amid uncertain macroeconomic conditions

MODESTO, Calif., June 29, 2023 /PRNewswire/ — Graceada Partners, a Modesto-based commercial real estate investment firm, is pleased to announce the recent sale of 915 North B Street in Sacramento, California. The sale resulted in gross returns of 33% IRR and 1.7x MOIC. The firm acquired the property, a 108,690-square-foot multi-tenant industrial development, in July 2021. Graceada’s strategy for the building included capital improvements and bringing below-market rent to the current market rate.

“We are pleased with the outcome of the 915 B Street sale, particularly considering the challenging circumstances currently facing the real estate market,” said Joe Muratore, Co-CEO of Graceada Partners. “The success of this sale speaks to the potential we saw in the Sacramento market two years ago. It reinforces our strategy and execution through any market cycle.”

Two notable aspects of the project were building out and leasing 2,052 square feet of previously unused second-floor office space and acquiring an adjacent 15,051 square-foot parcel. Acquisition of the adjacent lot provided an opportunity for increased parking revenue and potential future development. Capital improvements included exterior painting, roof and parking lot repairs, and enhanced landscape.

“Our focus on multi-tenant industrial and multifamily assets in inefficient second and tertiary markets has allowed us to identify and execute on opportunities through the market cycles,” said Ryan Swehla, Co-CEO of the firm. “These primarily private capital markets allow us to find assets like 915 B St. where rents were more than 45% below the current market.”

ABOUT GRACEADA PARTNERS

Graceada Partners is a vertically integrated real estate private equity firm focused on institutionalizing secondary & tertiary markets of the Western United States. Founded in 2008, the firm has $0.5 billion in assets under management (AUM) and employs a team of 50+ professionals who work collaboratively to source, capitalize, manage, renovate, lease, and sell properties. Graceada’s in-house expertise includes fund management, asset management, construction, and property management.

The firm’s leadership team averages over 18 years of experience adding value to real estate, collectively having managed over $10 billion in assets. Born in 2008 in the heart of the Global Financial Crisis, Graceada Partners is a seasoned expert amid looming economic uncertainties, which has allowed the firm to turn market dislocation into successful investments.

The Graceada Partners team lives by its core values: Positive, Caring & Humble; Owns the Mission; Does the Right Thing; Excellence in Execution; Wants to Win. Graceada Partners is a veteran-owned company that is proud to operate in historically underserved and under-invested regions.

Learn more at http://GraceadaPartners.com

Media contact:
Bob Spoerl, for Graceada Partners
[email protected]
773-453-2444

SOURCE Graceada Partners

Originally published at https://www.prnewswire.com/news-releases/graceada-partners-completes-sale-of-northern-california-multi-tenant-industrial-property-for-33-irr-301866155.html

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