MODESTO, Calif. – Aug. 26, 2019 – The brokerage division of Kennedy Wilson, a global real estate investment and services company, represented the buyer on an $11 million acquisition of Parker-Hannifin’s Racor Division, a fuel filter plant located in Modesto, California’s Beard Industrial District. The former industrial facility will find new life as a massive event hall that can accommodate large-scale weddings, as well as exotic animals.
John Troughton, vice president of brokerage for Kennedy Wilson, represented the buyer, Dr. Stephen Endsley, in the 1031 exchange. Endsley exchanged into the future event space from a property within a Sacramento office complex.
The property is well-suited as an event space due to its large size (241,831 square feet), proximity to a regional airport, and high parking ratio. The buyer plans to remodel for traditional Indian weddings with capacity for hundreds of guests as well as elephants, which are traditionally featured as a symbolic gesture of good luck and prosperity. The transaction fulfills a need for Modesto’s substantial, and growing, Indian-American population that comprises one of the largest subsets of Asian-Americans living in Stanislaus County.
“Industrial spaces are becoming more available, as a result of shifts in consumer behavior and the disruptive nature of technology. Manufacturing and processing are increasingly outsourced and consumer preference to buy goods online for home delivery has created a need for more widely dispersed distribution centers,” said Troughton. “We’ve worked to find several different creative solutions for these expansive and adaptable spaces, but this is the first time I’ve seen one transformed into a wedding space. It fulfills a truly unique demand within the Modesto community.”
The building, located at 3400 Finch Road, was originally built in 1980, and later purchased by Parker Hannifin in 1985. The fuel filter plant will continue to occupy about 20 percent of the building for the next six to twelve months while Parker Hannifin searches for new space.
About Kennedy Wilson Property Services
Kennedy Wilson Property Services, a division of global real estate investment company Kennedy Wilson (NYSE:KW), offers a comprehensive platform of integrated services for commercial real estate owners and investors. Headquartered in Beverly Hills, the group provides property management, facility management, accounting, commercial brokerage, construction management and distressed asset services across the United States.