Prologis, a global real estate investment trust based in San Francisco, has paid $49.3 million to acquire 31 acres of undeveloped industrial land in Torrance.
PBF Energy, a New Jersey-based petroleum refinery, sold the 1.4 million square-foot property, found on the northeast corner of Del Amo Boulevard and Prairie Avenue. PBF still owns the Torrance Refinery, a 750-acre refinery that’s located adjacent to the property.
Michael Ma of Lee & Associates represented PBF Energy in the sale. Frank Schulz of Klabin Co. represented Prologis.
The Los Angeles Business Journal first reported the news.
Prologis is one of the largest industrial landlords in L.A. County. It owned about $2.6 billion worth in industrial assets as of February. The REIT owns about 17.3 million square feet spread across more than 56 properties.
The sale, which closed last month, is one of many industrial real estate trades that is causing the market to tighten. A second-quarter report from Transwestern revealed that industrial vacancy in the 206.8 million-square-foot South Bay was at 1 percent last quarter — the lowest level of all major Los Angeles County metros.
Average rental rates have also increased 9.1 percent year over year, to $0.96 per square foot, according to the report.
Earlier this year, Morgan Stanley’s Prime Property Fund paid $103 million to acquire a 512,500-square-foot property at 20333 S. Normandie Avenue, also in Torrance. Bridge Development Partners listed the massive property in August 2017, while it was still under construction.