LA Food Banks pays $52M for warehouse, ending long search
Nonprofit acquired 250K sf property in City of Industry at a time of increasing need
The Los Angeles Regional Food Bank acquired a 256,000-square-foot industrial property in City of Industry, ending a decade-long search for a new location.
The nonprofit paid $52.1 million for the property at 2300 Pellissier Place, according to Commercial Observer.
The deal closed at a time when Food Bank CEO Michael Flood said its food distribution output “doubled over the past several months,” CO reported.
Newmark Knight Frank advised on the deal.
The Los Angeles industrial market is the tightest and most expensive in the country. National institutional investors including Brookfield and Blackstone Group are major players, along with L.A.-based Rexford Industrial Realty.
Between March and May, around 18 million square feet of industrial space traded hands— 3 million more than the same period in 2019.
Industry pros say they are confident that Southern California’s industrial market will remain strong. Around 60 percent of developers responding to a recent survey said they were planning a new industrial development, and 39 percent said they were planning multiple projects. [CO] — Dennis Lynch