The LA Deal Sheet
Continuing the industrial demand in Southern California, CapRock Partners has sold a new 140K SF Class-A industrial building in Corona to ice cream manufacturer Brothers International Desserts.
The price was not disclosed.
Built in 2018, the Temescal Valley Commerce Center building sits on 9.42 acres along Interstate 15 near the Weirick Road off-ramp. The property features a 32-foot clear height structure, 11 dock-high doors, two ground-level doors, eight excess trailer parking stalls, office suites and 90 parking spaces.
The acquisition highlights the growing demand for industrial property especially in the Inland Empire. The rise of e-commerce is increasing the need for distribution and warehouse centers and with limited supply, rents in the region are rising, according to CBRE. The Greater Los Angeles industrial market is expected to see 1.7M SF of positive net absorption this year due to the demand.
“2018 was a landmark year for industrial real estate in Southern California’s Inland Empire, and Temescal Valley Commerce Center is located in the epicenter of the land-constrained submarket,” CapRock Partners Vice President of Asset Management Nicholas Ilagan said. “With vacancy rates at an all-time low, our team worked tirelessly to deliver a world-class industrial facility within a short time frame to meet the high demand for warehouse space.”
Fullmer Construction provided general contracting services for Temescal Valley Commerce Center. Lee & Associates' Austin Hill, Jeff Ruscigno and Jeff Smith were the listing agents.
SALES
Excelsior Partners has purchased a 49,336 SF office building in Torrance from Fairway LLC for $11.3M. Built in 1990 and renovated in 2016, the two-story office building sits on 2.48 acres at 3520 Challenger St. Bobit Business Media currently leases the building. Newmark Knight Frank’s Sean Fulp, Kevin Shannon, Ken White, Ryan Plummer and Mark Schuessler represented the seller. Excelsior was self-represented.
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Chandler HFP, an affiliate of Los Angeles-based real estate firm Held Properties, has sold a vacant 67,733 SF research and development office building in San Jose to SVP Management for $19M. Built in 1985, the office building sits on a 4.6-acre site at 3775 First St. CBRE’s Bob Bower and Chip Sutherland represented the buyer and seller.
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A private family trust has sold a 37K SF retail center in La Palma to an undisclosed buyer for $15.7M. Built in 1975 and renovated in 2007, the retail center at 5961 La Palma Ave. is anchored by a Walgreens. Marcus & Millichap’s David Ridgway represented the buyer and seller.
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An undisclosed institutional fund has acquired a 36K SF retail building in West Los Angeles from a private family trust for $22.6M. The two-story property at 12121 West Pico Blvd. is anchored by a Marukai Market and Party City. CBRE's Ken McLeod and Zachary Card and JLL's Tim Kuruzar represented the seller.
LEASES
Soho Logistics has signed an $11.2M lease with an undisclosed landlord to occupy a 169K SF industrial building at 14736 Nelson Ave. in Nelson Business Park in the City of Industry. Other terms of the deal were not disclosed. CBRE’s Cannon Chang, Jason Chao, Case Dahlen and Lynn Knox represented the tenant.
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Home Chef has signed a lease with Rockefeller Group to occupy a 206K SF industrial building at 1445 South Tippecanoe Ave. in San Bernardino. Terms of the deal were not disclosed. Cushman & Wakefield’s Chuck Belden, Kyle Kehner, Milo Lipson, Tim Pimentel and Ryan Velasquez represented Rockefeller Group. JLL’s Mac Hewitt and Tim O’Rourke represented Home Chef.
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Grand Havana Enterprises has signed a $10M, 10-year lease renewal with Douglas Emmett to occupy its existing retail space at 301 North Canon Drive in Beverly Hills. The square footage was not disclosed. Madison Partners' Bob Safai represented the tenant.
FINANCING
On behalf of Sterling Organization, the CBRE Debt & Structured Finance team has facilitated a $14.3M loan for the acquisition of a grocery-anchored shopping center in Huntington Park. CBRE’s Shaun Moothart, Dana Summers, Doug Birrell, Bruce Francis and Robert Ybarra arranged the seven-year, nonrecourse fixed-rate and full-term interest-only loan.
EXECUTIVE NEWS
Newmark Knight Frank has named Paul Klink as executive vice president and head of industrial services. Klink will be responsible for guiding the direction and expansion of the company’s industrial capabilities across North America. Prior to joining NKF, Klink served as an executive managing director of investor services at Cushman & Wakefield.
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Alexander Mitchell and Benjamin Bottehsazan have joined Pircher, Nichols & Meeks LLP as associates. Prior to joining Pircher, Mitchell served as a real estate finance attorney at Cox, Castle & Nicholson, where his practice was focused on representing institutional lenders in a broad range of transactions related to office, hotel, retail and multifamily properties. He has also previously served as a judicial extern to Justice Richard D. Fybel of the California Court of Appeal, 4th District in Santa Ana. Prior to joining Pircher, Bottehsazan served as a legal extern for the California Association of Realtors and before that worked in the same capacity at CBRE.
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Commercial real estate veteran Kevin Bender has joined JLL as managing director and market leader of the company’s Integrated Portfolio Services group in the Southwest. Bender, who has 23 years of experience, will be based in JLL’s downtown Los Angeles office. Prior to joining JLL, Bender served as executive vice president at CBRE.
