A restaurant supply company has purchased a last-mile distribution center near Downtown Los Angeles, helping the region maintain its nationwide industrial market dominance.
American Paper & Plastics paid $14.8 million through an entity named 2025 Long Beach Ave LLC, records show. The property was owned by Namu Properties Corporation, linked to an apparel manufacturer named SSC Apparel, or “Soprano Wear.” Namu Properties acquired the property in 2010 for $5.4 million.
The 46,500-square-foot building is at 2025-2027 Long Beach Avenue, just south of the 10 Freeway and the Fashion District. It is located in an Opportunity Zone, which could allow investors to delay or reduce capital gains taxes if substantial improvements were made.
The demand for last-mile destinations has been on the rise in L.A. Last month, Punch Studio signed a five-year lease at a last-mile warehouse in Harbor Gateway North, and Soho Logistics signed a lease earlier this year at a last-mile facility in the City of Industry.
In the nearby Fashion District, Urban Offerings is working on a mixed-use redevelopment, and Access Industries recently paid $32 million for two warehouses around the corner from the landmark Ford Factory building that it purchased a few weeks before.
Bridge Development Partners is also building a 117,400-square-foot facility in the nearby Vernon area, and Johnson Development Associates filed plans to build an 167,000-square-foot industrial warehouse in the neighboring Central-Alameda area.