|
10/27/16
|
In an institutional industrial buy out of Orange County, Bentall Kennedy has purchased Anaheim Concourse, a seven-building, 965.3k sf property in Anaheim, for $188.2 mil ($195/sf). The Class A asset was sold by Panattoni Development Co and Clarion Partners LLC on behalf of a separate account managed by the firm.
The property is located at: 1200, 1202, 1204 and 1206 N Miller St; 1151 and 1153 N. Ocean Circle; and 3335 E. La Palma Ave. Completed last year, it consists of seven industrial buildings that are 86 percent leased. The lease rollover is staggered with the first one expiring in January 2021 and less than 20 percent of the project’s square footage to roll in any given year through 2026.
The Anaheim Concourse sits in one of the most-desired infill markets in the Greater Los Angles and Southern California market with overall industrial vacancies at 1.8 percent. The economic makeup in the area is diverse and includes demand from the aerospace, electronics, food and apparel industries.
"This acquisition offered the opportunity to secure almost 10% of the Class A industrial product in the largest industrial market in Orange County in a single transaction,” said Bentall Kennedy’s Ashley Powell, Head of Transactions for the Western region. “Orange County is at a historically low vacancy rate and is enjoying strong tenant demand.”
CBRE’s Darla Longo, Barbara Emmons, Michael Kendall and Rebecca Perlmutter, along with local market experts Brad Bierbaum and Ryan Peterson, represented the sellers. Val Achtemeier of CBRE arranged financing for the project.
“Tenant demand in the Orange County industrial market remains strong, and we expect availability to remain within the 4 percent range over the next12 months,” said Emmons. “Development activity is comparatively low and does not bring a sufficient amount of industrial space to the market. So high-end product like this is highly sought after.”
Demand in the area for industrial facilities has far outstripped supply. One 367k sf building was completed in the first quarter of this year and another 219k sf site is currently under construction and expected to be finished in the fourth quarter. The activity totals less than 1 percent of the industrial base.
|
|
Return to the Archive page
|
|
|
|
|