Goodman Birtcher, one of the areas most active industrial developers, has added another pair of massive distribution centers to its portfolio.
The company, a subsidiary of Australia-based Goodman Group, purchased two sites owned by Albertsons Cos. Inc. in Santa Fe Springs and the San Gabriel Valley city of El Monte, the L.A. Business Journal reported. Together, they comprise 133 acres of land with just 2 million square feet of distribution space.
CoStar estimates that Goodman paid approximately $240 million, or roughly $115 per square foot, for the two sites, making the deal one of the biggest in Southern California in recent history.
It’s likely that Goodman will redevelop the sites to support higher levels of distribution. The El Monte site will be redeveloped with 1.2 million square feet of new space, while plans for the Santa Fe Springs site have not been disclosed, the Journal said.
“This acquisition further demonstrates our selective approach to expanding our presence in core U.S. industrial markets, focusing on targeted development and value add investment opportunities in land constrained markets with high barriers to entry,” said Brandon Birtcher, CEO of Goodman Birtcher, in a statement.
Louis Tomaselli, Zach Niles and Mark Detmer of JLL advised on the deal. [LABJ] — Katherine Clarke