Terreno Realty Corporation (NYSE:TRNO), an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, acquired an industrial property located in South San Francisco, California on September 5, 2025 for a purchase price of approximately $10.2 million.
The property consists of one industrial distribution building containing approximately 32,000 square feet on 1.1 acres. The property is at 258 Littlefield Avenue, between San Francisco International Airport and the City of San Francisco and immediately adjacent to Terreno Realty Corporation's property at 240 Littlefield Avenue, and provides four dock-high positions and parking for 24 cars. The property is 100% leased on a short-term basis until October 2025 and the estimated stabilized cap rate is 5.8%.
Estimated stabilized cap rates are calculated as annualized cash basis net operating income stabilized to market occupancy (generally 95%) divided by total acquisition cost. Total acquisition cost includes the initial purchase price, the effects of marking assumed debt to market, buyer's due diligence and closing costs, estimated near-term capital expenditures and leasing costs necessary to achieve stabilization.