Trending

Blackstone pays $62M for Southeast LA warehouse

Investment giant acquires 460K sf property in Pico Rivera from Iron Mountain in leaseback deal

Shlomo Khoudari, Managing Partner at Elion Partners, and Stephen A. Schwarzman, CEO of the Blackstone Group, with 1800-1880 North Commerce Parkway, Weston, and 3400-3450 Park Central Boulevard, Pompano Beach (Credit: Google Maps)
Blackstone CEO Stephen Schwarzman, and the building (Credit: Google Maps)

UPDATED, August 26, 6:29 a.m.: Blackstone Group paid $62 million for a warehouse in Southeast Los Angeles, continuing its push for industrial space.

The 461,000-square-foot records management facility is located at 8700 Mercury Lane in Pico Rivera. The seller was information management company Iron Mountain, which will lease back the space. Iron Mountain paid $16.6 million for the land in 2012, county records show, and built the property.

Blackstone purchased the property through B Core Mercury Lane Owner LLC, an entity with a listed address at Chicago’s Willis Tower, which is headquarters of Blackstone’s Revantage Corporate Services.

Sign Up for the undefined Newsletter

Locally, Blackstone in March paid $83 million for two adjoining industrial buildings in Van Nuys. In June 2019, the firm acquired $18.7 billion of warehouse assets across the U.S., making it one of the largest industrial real estate deals in history. The properties span 179 million square feet overall, and Blackstone purchased the properties from the Singapore company GLP Pte.

And earlier this month, Blackstone closed a $1.65 billion deal to purchase 49 percent of Hudson Pacfic Properties’ portfolio of largely Netflix-leased Hollywood offices and sound stages.

Iron Mountain has stored master sound recordings of artists on the Sony and Warner music conglomerates in L.A. Calls to Iron Mountain on Monday were not returned.

Recommended For You