Multiple East Bay work hubs have been bought by a real estate alliance for a combined $63 million as part of an overall $1.81 billion deal to buy logistics, industrial and commercial properties in four states, including California.
The just-bought buildings are in Fremont and Hayward and were purchased by a venture consisting of BKM Capital Partners and Kanye Anderson Real Estate, according to documents filed on June 8 with the Alameda County Assessor’s Office.
Affiliates of BKM Capital and Kanye Anderson paid $39 million for two Fremont buildings at 48000 Fremont Blvd. and $24 million for a Hayward building at 26269 Research Road, the county real estate records show.
Real estate investors have been willing to pay robust prices for East Bay industrial, logistics and commercial hubs in recent months, a review of public documents shows.
Tech companies have also scouted for East Bay industrial buildings, including artificial intelligence upstart OpenAI, which has leased a Richmond building near one of that city’s waterfronts.
In the just-completed property deals involving BKM and Kanye Anderson, the real estate allies bought the properties from affiliates of PS Business Parks.
In addition to the properties in the Bay Area, Kanye Anderson and BKM Capital bought buildings in Los Angeles County, Orange County, San Bernardino County, Riverside County, Texas, Georgia, and Washington state, the companies said.
BKM and Kanye Anderson bought an overall portfolio that totals 8.5 million square feet.
Investor interest and rising property values for logistics and industrial buildings have materialized at a time when waves of fading property values, delinquent loans and foreclosures have swamped the Bay Area’s office, hotel and apartment markets.
“This acquisition marks the largest addition to BKM’s platform to date,” said Brian Malliet, BKM’s chief executive officer. “Institutional interest in the light industrial segment is rapidly accelerating.”