Albertsons Looking to Sell $250M Distribution Portfolio
Albertsons Cos, which recently announced an IPO, is selling two large distribution facilities in LA County that total 2M SF. The facilities consist of a 72-acre site at 4300 Shirley Ave in El Monte and a 92-acre site at 12801 Excelsior Dr in Santa Fe Springs. The listings are the largest redevelopment or reuse opportunities available in the LA region, according to JLL, which is repping the grocer.
Albertsons is owned by Cerberus Capital Management, a New York firm that bought the company in 2013 and merged it with the Safeway chain, which locally includes Vons and Pavilions stores. According to JLL, the distribution facilities are being used by Vons and Safeway markets, which would temporarily lease them back, while the new owner is engaged in the entitlement process for a redevelopment plan.
The asking price for these properties was undisclosed, but industry sources say at current industrial values, the El Monte site is worth about $120M and the Santa Fe Springs site about $136M. [LABJ]
