Rexford acquires 3 industrial properties in the Los Angeles area for $ 44 million
Rexford Industrial Realty has purchased three Los Angeles area properties in the past two weeks for $ 44.25 million, including two sites it plans to redevelop, publicly filed documents show.
The Sawtelle-based industrial real estate company took over 12118 Bloomfield Ave. in Santa Fe Springs on a 5.2-acre site for $ 16.65 million and 19007 South Reyes Ave. in Rancho Dominguez on 4.5 acres for 16 , $ 35 million, both with a redevelopment in mind. Rexford also paid $ 11.25 million for 256 East Alondra Blvd. at Gardena, a 2.8 acre outdoor industrial storage site.
A street view of 12118 Bloomfield Ave. in Santa Fe Springs.
The Santa Fe Springs property is the second in the city that Rexford purchased last month. At the end of March, the company announced the $ 23.3 million purchase of a seven-building property approximately 3 miles from the Bloomfield site – 9900 to 10020 Pioneer Blvd., also in Santa Fe Springs. . Rexford plans to reposition buildings, which it said were mostly vacant, making capital improvements to update facilities, according to A declaration about the purchase.
Rexford noted in a Form 10-Q filed with the U.S. Securities and Exchange Commission that the LA County industrial market had a strong first quarter 2021, with average asking rental rates up one year. to the next and from one quarter to the next. The vacancy rate has declined, “bringing the market back to pre-pandemic vacancy levels,” Rexford said.
Direct vacancies in the Los Angeles industrial market fell in the first quarter to 2.4%, according to a first quarter 2021 report from Kidder Mathews. That same report predicted that the market would see rent growth rise 5% or 6% per year as demand continues to outstrip supply, new construction is absorbed quickly and the vacancy rate remains low.
Rexford was on a tear in 2020, acquiring over $ 1 billion in commercial real estate within the year, BizJournals reported. Among those deals was a portfolio of approximately 464,000 square feet in Vernon with six fully leased properties for which Rexford paid $ 93.8 million – making it the biggest deal of the year in Vernon, Commercial Observer reported at the time.