New York Life Gives $130 Million Industrial Portfolio Refi

Sukut Real Properties has secured a nine-figure refinancing loan for industrial properties across Southern California.

The Santa Ana-based investment affiliate of Sukut Construction got a five-year, $130 million loan for 21 properties in Los Angeles, Orange and San Diego counties, as well as parts of the Inland Empire region, Commercial Observer reported. New York Life provided the fixed-rate loan.

The portfolio spans 1.1 million square feet and is currently 98 percent leased to unnamed automotive, biotech and logistics tenants, according to CO. The square footage and addresses of the properties weren’t immediately clear. The properties were developed between 1968 and 2016.

“Sukut Real Properties has assembled an exceptional collection of assets that benefit from irreplaceable locations, strong tenant relationships and significant mark-to-market opportunities,” JLL’s Greg Brown, who helped arrange the financing on behalf of Sukut, said in a statement. “The portfolio’s geographic and tenant diversification, combined with its proximity to major transportation infrastructure, positions it to capitalize on Southern California’s continued industrial demand growth driven by e-commerce, manufacturing and logistics operations.”

The industrial market in Southern California remains the largest in the Western Hemisphere, but recent economic and tariff uncertainty have made many manufacturers and other industrial space users — as well as developers and investors in the region — anxious to invest or expand. The market isn’t entirely unwelcoming, however.

Earlier this month, the New York-based MetLife Investment Management sold a three-property Southern California industrial portfolio in separate transactions totaling $165.5 million.

Terreno Realty bought the Redondo Beach Two Pack, a 99,340-square-foot property at 3700 and 3730 Redondo Beach Avenue. That property is fully leased and has 16 dock-high doors, three grade-level doors and a clear height of 16 feet. TA Realty purchased The Concourse, a 420,697-square-foot facility at 18605-18645 Gale Avenue in the City of Industry. The industrial business park has nearly 70 dock-high doors, nine grade-level doors and a 160-foot truck loading area. And in San Diego County, General Investment and Development bought the Carlsbad Oaks Business Park, a 78,140-square-foot, two-building property at 2791-2793 Loker Avenue West in Carlsbad.

— Chris Malone Méndez