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Rexford adds 600K sf to industrial portfolio in Inland Empire

SoCal giant paid $129M in cash deal for sprawling properties

Howard Schwimmer and Michael S. Frankel (Rexford, iStock)
Howard Schwimmer and Michael S. Frankel (Rexford, iStock)

Rexford Industrial Realty added another four properties encompassing 30 acres in Inland Empire, adding to its considerable Southern California holdings.

The Brentwood-based firm paid $129.4 million in an all cash deal for the properties that total 632,000 square feet, according to the Los Angeles Business Journal.

The buildings are all new construction Class A properties, which are sought after for logistics use for their design and high ceilings.

A 237,000-square-foot property in Fontana is the largest of the four. The others are a 156,500-square-foot complex in Rialto, a 139,000-square-foot property in Montclair, and a 100,000-square-foot facility, also in Fontana.

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Together, they are now 63 percent leased. Rexford plans to lease up the vacant space.

The portfolio deal is Rexford’s third acquisition since November, when it picked up a 140,000-square-foot property in the San Fernando Valley from Oaktree Capital and Intertex Companies.

Later that month, Rexford paid $340 million for a pair of industrial parks in Whittier and Sylmar.

The industrial sector was already the strongest sector in L.A. before the pandemic took hold, and recovered over the last two quarters from a slowdown in the spring.

Vacancy was barely up year-over-year in the third quarter — at 2.6 percent — whereas vacancies are broadly up for other property types. Increased demand for logistics services during Covid, namely because of e-commerce, helped steady the sector. [LABJ] — Dennis Lynch 

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