Newark Warehouse Sells to PGIM for $78 Million

The East Bay industrial market continues to see increased transaction activity, as evidenced by a nearly $80 million trade last week.

An affiliate of PGIM Real Estate bought a 214,537-square-foot warehouse in Newark for $78 million, the San Francisco Business Times reported. The Los Angeles County Employees Retirement Association, a state pension fund, sold the Class A property at 7091 Central Avenue. The transaction closed Jan. 2.

The 7091 Central Avenue structure is one of three buildings that make up the Newark Distribution Center, which spans more than 367,000 square feet. PGIM only purchased the 7091 Central Avenue building.

PGIM’s buy is the latest transaction in the East Bay in recent months.

In December, an affiliate of Los Angeles-based Palisades Group acquired a 140,000-square-foot warehouse at 7411 Central Avenue — down the street from PGIM’s new property in Newark — for approximately $34 million. The month prior, BKM Capital Partners and Kayne Anderson Real Estate picked up a four-building, 105,101-square-foot industrial campus at 2420-2495 Estand Way in Pleasant Hill from the Lowenberg Corporation for $25 million.

Fremont, the neighboring city east of Newark, has also seen a wave of industrial market activity over the past year. In July, CBRE, 9th Street Partners and Clarion Partners began construction of a manufacturing business complex called Campus at Bayside. The property will span 473,250 square feet across six buildings in the Bayside Technology Park. A few weeks earlier, Prologis bought a 177,000-square-foot industrial building for $59 million.

Elsewhere in the Bay Area, in November, Prologis bought a portfolio of 11 buildings in Brisbane’s Crocker Industrial Park for $314.5 million. That marked the priciest Bay Area warehouse and distribution transaction of 2025. The San Francisco-based firm, the world’s largest owner and developer of industrial real estate, acquired the structures from California State Teachers Retirement Fund.

— Chris Malone Méndez