Perris, CA – Newcastle Partners, Inc., has sold Harley Knox Logistics Center for $16.35 million. The 147,000-square-foot Class A industrial facility is located at 17610 Harvill Avenue in Perris, CA and is fully occupied by Hardwoods Specialty Products on a long-term lease.
The buyer, TA Realty, LLC, represented itself in the transaction and Cushman & Wakefield, led by Jeff Chiate and Mike Adey represented Newcastle Partners.
With construction completed in September 2017, Harley Knox Logistics Center is situated on 8.21 acres and features 104 parking stalls, 26 loading docks, 32” clear height, and a 160’ truck court. Corporate neighbors include Kraft Foods, Amazon, Lowes, Home Depot and a host of other Fortune 500 companies. The facility also offers direct access to the freeway via the Harley Knox Blvd. on/off-ramp and has identity and clear visibility from the 215 Freeway.
Founded in 1926, the building’s tenant, Hardwood Specialty Products, is the premier distributor of hardwood veneers, plywood and solid lumber products, MDF, melamine, particleboard and specialty products in North America. The company moved into the facility in January 2017 for warehousing, distribution and will-call pick up uses.
“This project far exceeded our expectations. With an irreplaceable freeway visible location and a high quality long term tenant in place we received over a dozen offers to purchase the project. We set a new high-water mark in terms of price per square foot in this size category in the Inland Empire,” said Jackson Smith, Partner with Newcastle Partners.
Newcastle Partners has developed more than six million square feet of industrial product in the Inland Empire region over the past seven years and currently has over two million square feet under development or in pre-development stages.
“Institutional capital is looking now more than ever to make an investment in the Inland Empire region as a result of the increased tenant demand based mainly upon e-commerce fulfillment centers,” said Dennis Higgs, Managing Partner with Newcastle Partners. “The demand has been unprecedented with mind-boggling land value and rental rate increases.”
About Newcastle Partners:
Newcastle Partners is a privately held, full-service, commercial real estate investment and development company focusing exclusively in West Coast gateway marketplaces. The company is uniquely positioned to execute a variety of strategies to add value, including land entitlement, new construction, and asset repositioning to create and capture incremental value. Newcastle has completed the acquisition and/or development of a diversified portfolio of over 50 projects totaling over 15 million square feet, representing a total investment of over $1.1 billion.
About Cushman & Wakefield
Cushman & Wakefield is a leading global real estate services firm that delivers exceptional value by putting ideas into action for real estate occupiers and owners. Cushman & Wakefield is among the largest real estate services firms with 48,000 employees in approximately 400 offices and 70 countries. In 2017, the firm had revenue of $6.9 billion across core services of property, facilities and project management, leasing, capital markets, advisory and other services. To learn more, visit http://www.cushmanwakefield.com/ or follow @CushWake on Twitter.