The former Shoe Palace industrial facility in Morgan Hill, CA has been sold by Bridge Group Investments, LLC to Ridge Capital Investors & Westbrook Partners for $45 million. According to CBRE, Silicon Valley is one of the tightest industrial markets in the nation, and there are zero ground-up industrial building deliveries expected this year.

Scott Prosser, Joe Moriarty, Jack DePuy and Rebecca Perlmutter of CBRE’s Northern California Capital Markets along with Brian Matteoni and Chip Sutherland of the firm’s Silicon Valley office represented both parties in the deal. Matteoni and Sutherland will be retained as leasing brokers for the property as well. CBRE’s Mike Walker and Brad Zampa represented the buyer in securing a $39.5 million, three-year, non-recourse loan.

Located in the Morgan Hill Ranch Business Park, the 258,000-square-foot property is situated on 14.7 acres and features 30’ clear heights, four loading dock doors, four grade-level doors and 8,000 amps of power. The buyer plans to do significant upgrades to the 25-year-old facility.

Photo courtesy of Vantage Point Photography