Parallel Capital Partners Pays $67M for San Diego Industrial Park
The investment firm acquired a separate industrial asset in San Diego last fall for $14.5 million, and plans extensive renovations at both properties
By Nick Trombola May 12, 2025 7:45 pm
reprints
Following its first San Diego industrial complex purchase in November, Parallel Capital Partners has released a significantly bigger sequel.
The San Diego-based investment firm in April paid $67 million for Rose Canyon Business Park, a 234,000-square-foot industrial complex spread across 15 buildings, Commercial Observer has learned. Parallel acquired the 85 percent leased campus at 4901 – 4907 Morena Boulevard from Walnut Creek, Calif.-based Vertical Ventures, according to property records. It wasn’t immediately clear who brokered the sale.
Parallel expects to spend an additional $5 million in renovations, including exterior upgrades, signage improvements, landscaping and a new spec suite program for the property. It also plans to convert about 13,000 square feet of office space there for industrial use. Tenants at the property include The Rock Movers, Paulson Air Conditioning and Lumina Builders, each with an average footprint of 1,700 square feet.
The purchase comes about six months after a similar and far smaller deal in the firm’s backyard.
Parallel in November paid $14.5 million to the San Diego Association of Governments (SANDAG) for the 5 & 52 Business Park, at 5965 and 5975 Santa Fe Street, just north of Rose Canyon Business Park. CBRE’s Matt Carlson, Hunter Rowe, Camille Doan, Brian Hutcherson, Barbara Perrier, Mike Longo, Joe Cesta and Eric Cox represented SANDAG in that sale.
Parallel also has big plans for the two-building, roughly 72,000-square-foot site, including carving up the properties into smaller, move-in-ready spec suites, along with exterior and landscaping upgrades.
“We believe the current dislocation in the capital markets has created a rare window to acquire high-quality assets at compelling values, and we are excited to reposition these properties to meet the growing demand for modern, small bay industrial space in San Diego,” Matt Root, Parallel co-founder and CEO, said in a statement.
Parallel’s investment strategy focuses on small bay industrial assets, rather than big-box warehouses that dominate other parts of Southern California. It’s a strategy also employed by industry heavyweights like Rexford Industrial Realty.
Nick Trombola can be reached at ntrombola@commercialobserver.com.
