A Principal Financial Group subsidiary sold an industrial property in Fullerton to its occupier: Future Foam.
The family-owned foam maker purchased the facility on 17 acres at 1050 S. State College Boulevard for $145 million, according to records dated earlier this month, paying nearly $700 for the 210,000-square-foot property.
Principal Financial Group’s acquisition of 1050 S. State College Boulevard in 2022 was the priciest industrial sale in all of Orange County for the fourth quarter, according to a Kidder Mathews market report at the time. The investor purchased the property from Oltmans Investment Company back then for $52.6 million, about $250 per square foot.
Principal Financial Group declined to comment. Future Foam did not respond to a request for comment.
It appears to be the year’s priciest industrial sale in Orange County thus far. In the first quarter, JPMorgan Chase sold 1501 to 1601 E. Cerritos Avenue to The Walt Disney Company, its tenant, for $124 million; and in the second quarter, BKM Capital Partners sold the Spectrum Centre Business Park to Buchanan Street Partners for $62.5 million, according to Kidder Mathews data.
But that doesn’t mean all is well where Orange County industrial is concerned.
The market continued to soften in the second quarter, according to a CBRE report; vacancies rose, asking lease rates declined and negative absorption persisted. “Economic uncertainty and concerns surrounding tariffs contributed to a cautious approach among decision-makers, lessening the urgency to commit to space,” the report said.
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