Avison Young Signs 109,594 SF Lease with HelloFresh in Bay Area

Oakland, CA – Avison Young, the world’s fastest-growing commercial real estate services firm, announced today that it has completed an eight-year lease with HelloFresh, Inc., a growing meal-delivery service, for a 109,594-square-foot (sf) industrial freezer distribution facility in Richmond, CA. The lease is valued at approximately $13 million.

Avison Young Principal Kevin Ahaesy and Associate JW Krumpholz, who specialize in the sale and leasing of industrial property and corporate food services, represented the building ownership, Highridge Provender LLC, a Southern California-based real estate investment firm. HelloFresh was represented by Colliers International.

Built in 2000 and expanded in 2005, the class A freezer facility is situated on 7.62 acres and is located directly off Interstate 580 at 2041 Factory Street in Richmond. The building features a 47-foot clear height freezer; abundant trailer storage; a 100-foot deep refrigerated dock staging area; and the capacity to store upwards of 10 million pounds of frozen product or 9,012 pallet positions.

Additionally, the property includes an on-site U.S. Department of Agriculture (USDA) room and offers the ability to expand the current facility by up to an additional 50,000 sf.

“This property offered HelloFresh a prime opportunity to take its successful company to the next level as the combination of the building’s strategic, central Bay Area location and state-of-the-art features met all of the requirements to effectively serve the tenant’s present and future needs,” comments Ahaesy.

Krumpholz adds: “There are only about five food-grade buildings comparable to 2041 Factory Street in all of Northern California. This niche property market is very tight and it is very rare for facilities like this to become available as tenants tend to stay put for the long term.”

Ahaesy and Krumpholz represented Highridge Provender on its purchase of the asset in December 2014, which was delivered vacant and formerly occupied by Richmond Wholesale Meats. The acquisition marked the newly formed Highridge Provender’s first acquisition.

Avison Young is the world’s fastest-growing commercial real estate services firm. Headquartered in Toronto, Canada, Avison Young is a collaborative, global firm owned and operated by its principals. Founded in 1978, the company comprises 1,900 real estate professionals in 67 offices, providing value-added, client-centric investment sales, leasing, advisory, management, financing and mortgage placement services to owners and occupiers of office, retail, industrial and multi-family properties.

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