NorthPoint Offloads Lancaster Land to Jensen Infrastructure

The Inland Empire and South Bay are two of the top industrial markets in the country, but Jensen Infrastructure is looking to expand elsewhere in Greater Los Angeles.

Reno, Nevada-based Jensen acquired 100 acres in Lancaster, California, from NorthPoint Development for $46 million, Commercial Observer reported. The property is on empty desert land northeast of the Lancaster city center.

Jensen plans to build a 400,000-square-foot precast concrete manufacturing facility on the property at the corner of 30th Street East and East Avenue G. Proficiency Capital will serve as the developer of the project. Construction on the project — bolstered by undisclosed financing from 3G Capital Partners — is expected to begin by the end of next month with completion slated for March 2027.

Jensen opted to build in Lancaster partially due to “the City of Lancaster’s pro-business and pro-jobs approach and its logistical proximity to L.A.,” JLL’s Hunter McDonald, who represented Jensen in the transaction, told CO, calling Jensen’s investment “a testament to the dynamic Southern California economy.”

More developers are looking into the Antelope Valley, home to Lancaster in north Los Angeles County, as the Inland Empire deals with low vacancy rates. Overall, the Antelope Valley is one of the smallest industrial markets in L.A. County with roughly 8.3 million square feet of existing inventory. Yet, the Antelope Valley has the most projects in the pipeline by far in the county with nearly 1.3 million square feet in development, per Avison Young data cited by CO. The forthcoming projects should help alleviate the area’s space shortage, as the Antelope Valley has by far the highest direct vacancy rate in L.A. County at 19.6 percent.

Industrial properties in L.A. County still command high prices. In December, Morgan Stanley notched the priciest industrial purchase in the county last year when a subsidiary bought a 143,060-square-foot industrial facility at 5705 West 98th Street near Los Angeles International Airport for $211 million. Last month, Link Logistics sold a 265,418-square-foot industrial building at 588 Crenshaw Boulevard in Torrance to an entity run by Christina K. Wong, president of food product provider Golden Star Trading, for $123 million.

— Chris Malone Méndez