Bringing Revitalized Commercial Properties Back to the Retail Arena
Recently, the commercial real estate giant Ethan Conrad Properties purchased three buildings that were formerly occupied by AT&T Inc. in Arden-Arcade. This giant transaction is just the latest of an impressive number of transactions completed by ECP since it was founded in 1995. In fact, the company has purchased, renovated, and leased to retail tenants more than 145 properties comprising more than 7.45 million square feet to date.
Comprehensively, Ethan Conrad Properties internally provides its own property management, brokerage, construction, and facilities management; the firm has earned an esteemed reputation of purchasing commercial properties that are no longer living up to their full potential, updating them, leasing them to desirable tenants and ultimately, revitalizing the economies of surrounding communities.
Commercial Property for Sale: Ethan Conrad’s Latest Purchase
The escrow on the three buildings closed with a total of about 232,000 square feet of space changing ownership. These buildings are located at 3600 Marconi Avenue, 3707 Kings Way, and 3540 Kings Way. The keen eye and remarkable skill and talent the ECP team operates with is echoed in an email written by Ethan Conrad, founder of the firm, regarding the transaction:
“There’s still demand for offices in central locations like this one and again, there’s not very much available space that’s larger size and therefore, larger tenants have a pretty limited selection of available office space.”
The ability for Ethan Conrad and his team to find, select, and move forward with the purchase of commercial properties is unique – and it’s become a habit.
A beneficial habit not just for Ethan Conrad Properties, but also for tenants who move into rehabbed properties and the communities they serve.
The three buildings were purchased by Conrad for about $7 million, which translates to about $30 per square foot – a price Conrad said was very favorable. He and his team plan to make a significant investment in all three of the buildings, leasing them out after the aesthetics of the buildings are improved. In addition, remodeling plans will include HVAC systems, mechanical systems, and other building systems.
The buildings all date back to the 1980s, and Conrad explains that “All of these buildings are good properties; they just need some remodeling work and to be freshened up a bit.” The real estate data website Reonomy has records on the buildings showing that under the name Pacific Bell, AT&T acquired the two properties on Kings Way in December of 1988 for an undisclosed price. Prior to that sale, in April of that year, AT&T (again under the name Pacific Bell) had purchased the building on Marconi Avenue – again, for an undisclosed price. Records also show that in earlier 1988, the Marconi Ave building sold for $8 million.
ECP Masters the Art of Revitalizing Local Economies
One of the many admirable qualities of Ethan Conrad Properties is its passion for improving the communities surrounding properties purchased by the firm. Time and time again, the company takes a vacant property and turns it into a bustling retail, office, or industrial hub, attracting desirable tenants and inviting economic growth into the entire area near the property.
The plan for these three buildings is very much the same.
AT&T: What About the Employees and Customers?
A spokesman for AT&T made a statement reassuring the public that the company determined the buildings were no longer essential to operations and as non-core assets, they decided to sell. Ryan Oliver explained, “This should have no impact on the service provided to our customers. The employees that were at this building have been relocated to the three remaining campus buildings.”
The entire idea of economic stimulation and growth, of course, is for more people in the area to be active in the economy, and this is one of many cases in which a commercial real estate deal was carried out without anyone losing their job. The combination of job preservation and property rehabilitation is what local economies need to grow and thrive.
There are two additional buildings in the area that are owned by AT&T, one of which is on the corner of Watt Avenue and Kings Way. The larger of the two, on Watt Avenue, appears to still be occupied by AT&T .Ethan Conrad commented further on AT&T, stating that the company will sign a short-term lease to occupy 3707 Kings Way for less than six months; it had vacated the other two buildings within the past year.
Ethan Conrad Properties Inc. continues to operate by its core value: its commitment to customer service. The Sacramento commercial real estate firm can be reached at the company’s official website or by calling (916) 779-1000.