The O’Donnell Group Locks Down 100K SF Tenant For Montebello Warehouse
The O'Donnell Group leased about 100K SF of industrial space in Montebello, California, to Republic Floor, a flooring company based about 15 minutes southwest of Montebello, in Commerce.
Republic Floor's lease will allow it to consolidate several regional locations into one. The facility at 7227 Telegraph Road will also be home to the company's North American headquarters, Commercial Observer reported.
Cushman & Wakefield's Tim Wallace represented Republic Floor in the transaction. The brokerage also announced the lease, but did not disclose the terms, including its duration. Colliers’ Connor McRae, Scott Heaton and Chris Sheehan represented the landlord.
Republic Floor CEO Rotem Eylor told CO in a statement that his company had hoped to buy a building but that in the current industrial market, opportunities to do so were being bid up and ultimately selling to investors in all-cash deals.
“Even on this property for lease, there were multiple companies competing," Eylor told the publication.
The average rent for industrial space in Los Angeles County was $1.59 per SF in the third quarter, a nearly 10% increase from the previous quarter, according to NAI Capital. Though availability countywide was 3.5%, in the central LA area, where Republic Floor leased space, total vacancy is estimated at about 1.7%.
