Rexford Industrial Buys $191M CA Portfolio

Los Angeles, CA-based Rexford Industrial Realty announced this week that it completed the acquisition of a nine-property industrial portfolio for a total purchase price of $191 million, or approximately $125 per square foot. Rexford Industrial purchased the portfolio from CT Realty Investors in a deal brokered by Darla Longo and Barbara Emmons of CBRE. According to a Seeking Alpha report, Rexford Industrial funded the deal with proceeds from its recent capital raise and exercise of a $100 million accordion on its $125M million unsecured term loan.

"We are pleased to complete the acquisition of this well-located, high-quality portfolio, which increases our owned square footage by over 12%," Howard Schwimmer and Michael Frankel, Co-Chief Executive Officers of Rexford Industrial, said in a press release. "The portfolio, which is 100% leased to twelve tenants, brings greater scale and operating efficiency in key infill submarkets and is expected to be accretive to our 2016 FFO/share operating metrics. We also look forward to executing on value-add opportunities to further enhance the portfolio's cash flow over time to maximize value for our shareholders."

Addresses for properties within the portfolio have not yet been made available, but are notably located in Orange County, Inland Empire West, Central San Diego and Los Angeles-San Gabriel Valley, and include 1,530,814 net rentable square feet on 79.8 acres. Two of the buildings were constructed in 2015 and most of the other assets were renovated in the past three years.

For more news and information visit Blumberg Partners.

Inland Empire Airport Distribution Center Sold

Panattoni Development Company, the Newport Beach, CA-based CRE developer, has sold Airport Distribution Center in Ontario to Guthrie Development Company and a private equity parter for an undisclosed price, though some sources claim the company paid over $20 million for the property. Barbara Emmons, Darla Longo, and Michael Kendall of CBRE represented the seller in the transaction.

"This property provides an excellent opportunity for our firm and joint venture partner to build its Inland Empire industrial portfolio. We've historically focused on coastal markets, but feel the time is right to take advantage of the strength of the Inland Empire industrial market. Specifically this property fits our strategy of selling individual units as condominiums to the small industrial users," said Rob Guthrie, President of Guthrie Development Company, in a GlobeSt.com article.

Located at 1500, 1550, and 1590 Milliken Avenue, the 221,171 square foot industrial park spans three buildings that were 93% leased at the time of sale. "The property has been able to attract quality tenants due to its excellent location, dock high and grade level loading and attractive office space. Dock high loading functionality is very rare at competing properties with similar unit sizes," added Barbara Emmons of CBRE. The project is in the heart of the California Commerce Center and ideally situated West of the 15 Freeway and between the 10 and 60 freeways, just minutes from the Ontario International Airport and numerous retail establishments.

For more news and information visit Blumberg Capital Partners.