By Jon Peterson
As the demand for industrial assets across the Bay Area remains elevated, some owners are evaluating properties in their portfolios for possible disposition. Atlanta-based ARA Transportation is one of those companies, and they are placing on the market 2270 Jerrold Avenue in San Francisco, as stated in public records. The pricing guidance on the property is $55 million, according to sources familiar with the asset’s listing details.
The property owner has chosen the San Francisco office on CBRE to be the listing agent on the asset. Among those working on the transaction are Mike Taquino, Kyle Kovac and Karl Hansen. They are all executive vice presidents with the company. CBRE declined to comment when contacted for the story.
The property as it stands now has no tenants, and it has a total of three industrial buildings totaling 13,200 square feet. This location is considered an infill site, since the total area of the property comes to 3.54 acres, or around 154,000 square feet. The property was first developed in 1973, and all of the buildings are single-story in height. The asset has a current zoning of PDR-2, which means it can accommodate a wide range of permitted uses for the future. This could include light manufacturing, laboratory, truck terminal and vehicle parking.
The asset could become the home for a single-tenant user in the future. Some examples of this would be e-commerce, autonomous vehicle/car companies, fleet operators, institutional user, industrial innovation/R&D/tech and food beverage companies.
2270 Jerrold Avenue is located in the greater Potrero Hill and Mission District submarket of San Francisco. It stands three miles away from San Francisco’s downtown core. The area near the property is known as a home for a world class tenant base. Waymo recently signed a 120,000 square foot lease a few blocks from 2270 Jerold, according to the property’s offering document. Other nearby tenants include Amazon, FedEx, Zoox, DHL, Google, UPS and Dolby.
2270 Jerrold Avenue offering marks the second industrial asset to hit the market in San Francisco recently. The other is the property located at 300 Toland Street. This property has a total of 75,000 square feet of land with an asking price of $25 million. Newmark is overseeing the sales process on this property.