Inland Empire Retail Assets Trade Hands in $6.9M Deal Brokered by Hanley Investment Group

Hanley Investment Group Real Estate Advisors has successfully closed the sale of a two-property retail portfolio in Murrieta, California, roughly 65 miles north of San Diego. The transaction, which totaled $6.9 million, underscores the enduring appeal of single-tenant net-lease (STNL) investments in secondary markets within Southern California's robust commercial corridor.

The deal involved two distinct single-tenant buildings, a sector that has seen sustained interest from private investors and family offices seeking stable, passive income streams. Hanley Investment Group, known for its specialization in retail investment sales, arranged the deal in a market that has proven resilient despite broader economic headwinds facing the commercial real estate sector.

According to Shopping Center Business, the firm arranged the $6.9 million sale of the assets located in Murrieta. This transaction highlights the liquidity currently present in the Inland Empire's retail market, particularly for assets with strong credit profiles or strategic locations.

Key Details

• Location: The properties are situated in Murrieta, a growing submarket in Riverside County often grouped within the Southwest Riverside trade area.
• Asset Class: The portfolio consists of two single-tenant retail buildings.
• Sale Price: The aggregate consideration for the portfolio was $6.9 million.
• Brokerage: Hanley Investment Group Real Estate Advisors represented the seller.

Market Impact

For commercial real estate professionals, this transaction serves as a bellwether for investor sentiment in the Inland Empire. As coastal markets like San Diego and Los Angeles grapple with cap rate compression and limited inventory, investors are pushing inland toward markets like Murrieta.

Single-tenant retail assets remain a "safe haven" asset class, particularly for investors looking to mitigate management intensity. The $6.9 million price point suggests the involvement of mid-market private capital rather than institutional funds, a trend that has dominated the STNL sector in 2024.

Furthermore, the distance from San Diego—roughly 65 miles—places these assets in a bedroom community that benefits from population migration patterns. As housing costs force families further from the coast, retail expenditure in cities like Murrieta is expected to rise, bolstering the fundamentals for local retail tenants. This deal signals that despite higher interest rates, cash-flowing retail assets in growing California submarkets are still commanding premium pricing.