Carlsen Investments to Places Sacramento Property on the Market with Asking Price of $16.9MM

12009 Foundation Place Gold River Sacramento Carlsen Investments Folsom CBRE office for sale

By Jon Peterson

While the Sacramento office market has seen signs of recovery over the last 18 months, a number of local owners are looking to test the market as uncertainly lingers. Folsom-based Carlsen Investments is one of these landlords, and the company has placed on the market for sale the 107,934 square foot office building in Gold River located at 12009 Foundation Place, according to the property’s offering document. The pricing guidance on the asset is $16.9 million, or around $156 per square foot.

The seller has chosen to work with the CBRE office in Sacramento as the listing agent on the planned sale of the property. Those working on the transaction are Randy Getz and Jason Goff, both executive vice presidents with the company.

There are two likely outcomes with the property, according to sources familiar with the asset. One would be to sell the property to a user, who would occupy a good portion of the empty space in the property, which is currently 92,970 square feet or 85.5 percent of the building. The other option would be for Carlsen to stabilize the asset before the sale, which may give the company a little more leverage with the potential buyers.

The property at one point had been fully occupied, as stated by sources familiar with the market leasing dynamics. A major tenant in the building was Health Net, which vacated the property over the past couple of years and relocated in the North Natomas area of Sacramento.

At the beginning of 2022, there will be three tenants that occupy roughly 15 percent of the property. The largest of these tenants is also the newest company to join the property—the DGS/Army Corps of Engineers. It will occupy Suite 170 for 8,592 square feet, and its lease runs through the end of 2031. The tenant does have the option of terminating its lease on 60 days written notice starting at the end of 2026. The other two tenants currently in the property are First Service Residential and Gold Pointe Association.

12009 Foundation Place is considered a Class A property. It is a three-story asset that was initially constructed in 2001. There have been some improvements made to the property over the past few years. This includes new paint on the building exterior, a newly stripped and sealed parking lot, as well as a newly refurbished and upgraded lobby and common areas, which was completed this year. The property sites on 6.76 acres of land, and it has 443 parking spaces.

The office asset is part of the Gold Pointe Corporate Center, which contains five Class A office buildings totaling 484,000 square feet. It has several attractive amenities that include electronically-controlled access, a fitness center, on-site café located in Building C, bike lockers/showers and fiber optic connectivity.

The office asset up for sale is located two minutes from Folsom and 15 minutes from downtown Sacramento. The Folsom office market remains strong from a vacancy standpoint. According to data compiled by CBRE, the overall office vacancy for Folsom is 6.5 percent with the Class A vacancy at 7.3 percent.

West Coast Commercial Real Estate News