Industrial Business Park Pomona, CA
When KNL Group took over the management of this asset in February 2016, the property was being managed by the elderly owner, vacancy was more than 10 percent, existing lease rates were 50 percent under market rate. Nearly all tenants were month to month on outdated leases, and existing tenants were regularly delinquent on rent payments and the park had much-deferred maintenance. Within the first 120 days, the park was fully leased. During the first year, delinquent tenants were made current and problematic tenants were evicted & replaced with better quality tenants on multi-year leases paying market rents, in addition, all remaining tenants were put on new multi-year leases at or near current market rates.
As of January 2020, the park is fully leased, the monthly rental income has more than doubled since 2016. All three buildings have had new roofs installed and the parking lot has been replaced with new asphalt and the owner is benefiting from 100% hands-off ownership. Net change to the landlord is an increase of approximately $220,000 annual income.