11276 5th St
Rancho Cucamonga, CA 91730
Milliken Point · Office Property For Sale

High-Image Office Investment with Upside and strong tenancy Exceptional opportunity to acquire a high-image, single-story office investment located in the heart of the Inland Empire’s retail mecca, Rancho Cucamonga. At 71% leased, the property immediately offers a secure income stream from two well-known tenants—Rancho Physical Therapy and PAR Electrical Contractors—with deep commitment to the Property. Rancho PT, Southern California’s leading provider of physical therapy services with 20 locations, has had significant capital deployed into the property for such improvements as the installation of a therapy pool, and creation of locker rooms and shower facilities. These improvements are extremely hard to replicate in today’s market, and should promote tenant retention at the location. PAR Electrical Contractors, a subsidiary of Quanta Services Company (Fortune #316) and the largest electrical contractor in the United States, uses the Property as a mission-critical location for its sizable Southern California operations. Immediate value-add through the lease-up of remaining vacancy under favorable leasing conditions for landlords: rising market rent, dwindling availability of quality space and growing demand from tenants and users. The Property’s attractive ground-level rollup doors, as well as proximity to an abundance of walkable retail amenities, should provide new ownership with a shortened lease-up time, greater leasing flexibility and a larger tenant pool that includes creative office and flex users. Owner/user Opportunity with huge occupancy cost savings With limited user offerings throughout the market, the offering also presents an owner/user the opportunity to purchase a stable, cash flowing investment with conventional financing, while also providing the ability to occupy 7,500 square feet. An owner/user would benefit from massive projected occupancy costs savings. The purchase provides an owner/user investor protection against future rental market uncertainty with market rent hikes, as well as after-tax equity accumulation. STRONG MARKET FUNDAMENTALS Rancho Cucamonga has consistently been one of Southern California’s top performing office submarkets, with a Q4 2018 vacancy rate of 5.0%. Strong demand momentum, combined with no new office deliveries planned in the foreseeable future, will continue to drive vacancy lower and rents higher. The Inland Empire, a region whose $158-billion economy is equal to that of the State of Utah, has been Southern California’s best-growth market for nine straight years, averaging 5.2% each year, per the Federal Reserve of St. Louis. The Inland Empire’s population base is Southern California’s second largest, fueled by a growth rate that is almost 3.5 times more than the rest of the region since 1990. In 2018, the Inland Empire had the best occupancy in the Western United States outside of the Bay Area. Its job growth is the best in Southern California. EXCEPTIONAL RETAIL AMENITIES, DEMOGRAPHICS AND ACCESS The Property is located in the heart of Rancho Cucamonga, an award-winning city with Gold Ribbon schools, Southern California’s top executive housing options, and appealing quality-of-life offerings. Immediate accessibility to critical freeway (I-10 & I-15), air (Ontario International Airport) and rail (Metrolink, BNSF) infrastructures that serve Southern California’s manufacturing and distribution industries. Proximity to the Inland Empire’s two best retail offerings: neighboring Ontario Mills and nearby Victoria Gardens. Retailers include Apple, Hugo Boss, Movado, The North Face, Nike, Brass Pro Shops, Tumi, Ugg, Macy’s, Paul Martin’s American Grill, Fleming’s Steakhouse, and Dave & Buster’s.