Capital Square Realty Advisors Acquires 37,500-Square-Foot 24 Hour Fitness Building Near Los Angeles
LOS ANGELES, Calif. (May 11, 2015) – Capital Square Realty Advisors, LLC announced today it has acquired a 37,500-square-foot retail building 100 percent leased to 24 Hour Fitness USA Inc., in the Los Angeles suburb of West Covina, Calif.
“This property is leased on a long-term, triple net basis to one of the largest, privately owned and operated fitness center chains” said Louis Rogers, founder and chief executive officer of Capital Square Realty Advisors. “Net leased properties in Greater Los Angeles have experienced a dramatic increase in value, and we couldn’t be more pleased to add this asset to our growing real estate portfolio, which now includes 23 properties across the U.S. valued in excess of $260 million.”
The two-story building is located at 1530 W. Covina Parkway, approximately 19 miles east of downtown Los Angeles, in the eastern San Gabriel Valley. The 1.6-acre property includes a three-level, free-standing parking garage, and is designed as a 24 Hour Fitness “Sport” facility. Amenities of the club include cardio equipment, circuit training, a kids club, sauna, steam room, and lap pool, among others.
Founded in 1983 in San Leandro as a one-club operation, 24 Hour Fitness currently has more than 400 locations in 18 states and three countries, upwards of 3.8 million members in excess of $1.25 billion in annual revenue. A global fitness leader, the company has been ranked by Club Industry’s (www.clubindustry.com) “Top 100 Health Clubs” as No. 2 in 2013 and 2014, and No. 1 in 2011 and 2012.
According to the International Health, Racquet & Sportsclub Association, in 2012 the U.S. health club industry recognized total revenues of approximately $22 billion and had grown to include about 50 million members and 30,500 clubs. The Gym, Health and Fitness Clubs in the U.S.: Market Research Report (2013), by global business research firm IBISWorld, noted the health club industry is one of the few sectors of the U.S. economy that has remained resilient during the past two recessions.
Capital Square would like to recognize TFS Properties, Inc., doing business as TaxGuard1031, a California licensed real estate broker, which served as Capital Square’s real estate broker and was the procuring cause for this off-market acquisition. Rusty Tweed is the President of TFS Properties, Inc. and is a registered representative with FINRA member firm Concorde Investment Services, LLC.
About Capital Square Realty Advisors LLC
Capital Square Realty Advisors, LLC specializes in the creation and management of commercial real estate investment programs for Section 1031 exchange investors and discretionary (non-1031) investors using the Delaware Statutory Trust structure. Louis J. Rogers, founder and chief executive officer of Capital Square Realty Advisors, has been involved in the creation and management of more than 100 investment offerings totaling over $3 billion, including DST, tenant-in-common, numerous real estate funds, and multiple publicly registered non-traded real estate investment trusts.
###
