Terreno Realty Corporation Acquires South San Francisco Property for $10.2 Million

Terreno Realty Corporation acquired an industrial property in South San Francisco, CA for $10.2 million. The property consists of one 32,000 sq. ft. industrial distribution building on 1.1 acres and is 100% leased until October 2025. The estimated stabilized cap rate is 5.8%. The property is located between San Francisco International Airport and the City of San Francisco, adjacent to Terreno Realty Corporation's property at 240 Littlefield Avenue.

Terreno Realty Corporation (NYSE: TRNO), a prominent player in the industrial real estate sector, has recently announced the acquisition of a significant property in South San Francisco, California. The company acquired a 32,000-square-foot industrial distribution building located on 1.1 acres for approximately $10.2 million [2].

The property, situated at 258 Littlefield Avenue, is strategically positioned between San Francisco International Airport and the City of San Francisco. It is immediately adjacent to Terreno Realty Corporation’s existing property at 240 Littlefield Avenue, offering four dock-high positions and parking for 24 cars. Notably, the property is 100% leased until October 2025, with an estimated stabilized cap rate of 5.8% [2].

This acquisition is part of Terreno Realty Corporation's ongoing strategy to bolster its presence in major coastal U.S. markets, including New York City, Los Angeles, Miami, San Francisco Bay Area, Seattle, and Washington, D.C. By expanding its portfolio in South San Francisco, the company continues to leverage its focus on thriving economic hubs with high industrial real estate demand [1].

From a financial perspective, the acquisition demonstrates Terreno Realty Corporation’s commitment to securing stable long-term lease agreements and revenue streams. The 100% occupancy and the estimated stabilized cap rate indicate a strong market position and potential for consistent cash flow. However, investors should be mindful of the company's reliance on specific coastal markets and the risks associated with regional economic downturns, as highlighted in the forward-looking statements [2].

The acquisition aligns with the company's broader objective to capitalize on market opportunities within key coastal metropolitan areas. By focusing on strategic locations like South San Francisco, Terreno Realty Corporation is positioning itself to benefit from urban industrial growth trends and the increasing demand for adaptive warehousing solutions.

References:
[1] https://www.gurufocus.com/news/3096497/terreno-realty-corp-trno-announces-early-lease-renewal-in-seattle-strengthening-coastal-market-presence-trno-stock-news
[2] https://www.stocktitan.net/news/TRNO/terreno-realty-corporation-acquires-property-in-south-san-francisco-80xjy0jqp0tg.html