Primely Situated Inland Empire Industrial Business Park Sells for $26 Million

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(Photo Courtesy of Kidder Matthews)

In March of 2023, Gifford Business Park in San Bernardino, California was sold for $26-million by Positive Investments, Inc., represented by Kidder Mathews Executive Vice President Alan Pekarcik, SIOR. The buyer was Newport Beach-based private investor MIG RE Investors I, LLC, represented by Colliers’ buyer advisory experts Christopher Smith and Andrey Mindirgasov of the firm’s Southwest Investment Services team.

Built in 1989, the multi-tenant industrial property is located at 750-760 East Central Avenue and 765-791 South Gifford Avenue, 2.5 miles from San Bernardino International Airport and in close proximity to the I-10 and I-215 interchange. The property is situated on 12.52 acres with 11.46 usable acres and contains a 156,717-square-foot, seven-building industrial business park. With the property sitting squarely in one of the most desirable industrial markets in the country, the park is a strategic investment opportunity with ample development potential. “Situated in a highly sought-after market surrounded by institutional grade distribution centers, Gifford Business Park offered a rare investment opportunity to capitalize on the increasing market fundamentals,” said Smith.

“We are pleased with the successful result for MIG, who have acquired a stable cash-flowing, multi-tenant asset with additional upside via below market rents.” Comprising 78 units across seven buildings, with units ranging from 910 to 19,302 square feet, the park offers unit flexibility and opportunity for expansion. The project benefits from proximity to three major highways which serve the greater Los Angeles, Orange County, and Riverside metro areas and provide a direct corridor from the Los Angeles and Long Beach ports.

“We executed our business plan of addressing the deferred maintenance on the property, completing capital improvements, stabilizing the rent roll, and exiting in under 18 months,” said Srinivas Yalamanchili, principal at Positive Investments.

Recent capital expenditures include roof replacement on five of the seven buildings, exterior paint of the entire property, and parking lot re-slurry. The business park is currently 93% leased with over 50 tenants. In-place rents are nearly 20% below market.

“With limited industrial space available in the submarket, the property offers an opportunity where an investor can capitalize on the increasing market fundamentals fueled by the continued development in the Inland Empire submarket,” said Pekarcik. “There is development potential on the yard pad sites and the ability to capture higher rents, given the high desirability of this asset.”

Kidder Mathews is the largest independent commercial real estate firm on the West Coast, with over 900 real estate professionals and staff in 20 offices in Washington, Oregon, California, Nevada, and Arizona. The firm performs $12 billion in transactions, manages 53 million square feet of space, and conducts over 2,600 appraisals annually. For more information, visit