TA Realty has sold a recently renovated industrial property in Chatsworth for $28.5 million, doubling its investment in the property in just two years, The Real Deal has learned.
An LLC named “Exeter 18356 DE” purchased the 146,000-square-foot site, title documents show.
TA Realty, a privately-held real estate investment firm based in Newport Beach, acquired the property at 9140 Lurline Avenue in 2016 for $13.75 million, property records show. It then invested “substantial capital” to renovate the property, originally built in 1974, according to a company statement published last week.
John DeGrinis, Patrick DuRoss and Jeff Abraham of Colliers International represented TA Realty. David Young and Chad Gahr of NAI Capital represented the buyer.
At nearly $200 per square foot, the deal was the “highest per-square-foot price paid yet for a building this size,” DeGrinis said in a statement.
The industrial real estate market remains one of the hottest in all of Los Angeles County, and nationwide. An uptick in demand from a variety of industries, specifically manufacturing and e-commerce, has caused availability for warehouse space to fall to 7.2 percent in the second quarter, its lowest level since 2000, according to CBRE.
That’s also led to a hike in prices. In the South Bay — an industrial hub near the Ports of Los Angeles and Long Beach and the Los Angeles International Airport — asking prices have shot up the past year from an average of $130 per square foot to more than $215 per square foot. Many properties are also seeing multiple offers, despite the condition of the building.