“This purchase perfectly aligns with our company’s ongoing strategy to acquire irreplaceable industrial assets in the most sought-after locations,” Neil Mishurda, Pacific Industrial co-founder, said in a statement. “The property is incredibly unique given its size, infill location and rare combination of dual rail service by BNSF and Union Pacific.”
Voit Real Estate Services’ Sean McDonald, David Fults and Brian McLoughlin represented the buyer and the seller in the transaction.
“The opportunity to acquire an 11-acre industrial property in Central Los Angeles, one of the tightest industrial submarkets in Southern California, is almost unheard of,” McDonald said in a statement. “In fact, all four industrial submarkets in Los Angeles reported vacancy declines at the end of Q4 2020, which will continue to tighten the availability of in-demand industrial assets like this even further going forward.”
The property is located at 4545 Ardine St. It contains a 142,336-square-foot building and is 100% leased to a global distribution facility.
“In addition to the property’s location, the in-place lease to a creditworthy tenant and stable cash flow of the property was also very attractive to the buyer,” Fults said in a statement.
The industrial market in L.A. has been in high demand as ecommerce and fast delivery increases.
During the first quarter, 15.2 million square feet of industrial space in the county sold or leased compared with 13 million square feet the previous year, according to data from Jones Lang LaSalle Inc.
In the Central L.A. submarket, where South Gate is located, 3.2 million square feet sold or leased during the quarter, compared with 2.8 million square feet the year prior.
Asking rents were 99 cents a square foot on a triple net basis for the county, up 3 cents over the previous quarter.
