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Greenlaw sells Amazon portfolio to South Korean bank
Newport Beach-based firm sold eight properties in California, Utah for $520M
Greenlaw Partners has sold off a portfolio of warehouses leased to Amazon in California and Utah, The Real Deal has learned.
The Newport Beach-based investment firm and developer sold eight properties totaling about 803,000 square feet for $580 million, according to public property records. Greenlaw did not respond to a request for comment.
South Korea-based Mirae Asset Global Investments bought the properties through various limited liability companies, property records show. Newmark brokered the deal, but declined to name the seller, only identifying the entity in a marketing brochure as an “Orange County family office.” Greenlaw will continue to manage the properties.
Mirae scored a $287.3 million loan from Societe Generale and Standard Chartered to buy the properties, according to public documents filed with Riverside County.
Two of the properties are located in Riverside County: one at 35780 Date Palm Drive in Cathedral City and another at 7227 Central Avenue in Riverside. Both of the Riverside County properties are used as last-mile Amazon delivery stations, where goods arrive from fulfillment centers and are shipped to customers.
In the San Bernardino County municipality of Victorville, Greenlaw sold a 127,000-square-foot Amazon warehouse at 15272 North Bear Valley Road, records filed with the county show.
At around $650 per square foot, the deal is one of the priciest industrial portfolio sales to trade in California in recent years, showing just how much investors are willing to pay in the red-hot sector.
But Amazon’s name on the lease may not carry the same weight it once did — the company is looking to shed industrial space after rapidly doubling its warehouse footprint during the pandemic. In the first quarter, the firm said it had “too much” warehouse space and subsequently put at least 10 million square feet of warehouse space up for sublease.
Amazon also recently pulled out of a deal with Greenlaw Partners in West Covina, where Greenlaw was planning to build a 177,500-square-foot property for the e-commerce giant under a 12-year lease. The two firms have partnered on a number of projects across California.