IRVINE, Calif. – September 28, 2017 – West Fontana Logistics Center, a brand new 135,651-square-foot (sf) state-of-the-art industrial facility in Fontana (Inland Empire), California has sold for $19.75 million or $146 per square foot. LA Industrial 1, LLC, an affiliate of Zurich North America, acquired the property from CP Logistics Fontana, LLC, an affiliate of Panattoni Development Company. The property is 100% leased to a single tenant, Gale Pacific, which took occupancy when the building completed construction in July.
Jeff Chiate, Jeffrey Cole, Ed Hernandez, Mike Adey and Nico Napolitano of Cushman & Wakefield’s National Industrial Advisory Group in Irvine represented the seller in the transaction. Michael Chavez and David Nguyen of Lee & Associates provided market advisory.
Joe Russo, Associate Director of Acquisitions and Sean Bannon, Managing Director and Head of US Real Estate represented ZAAM in the transaction. Mr. Bannon said, “Panattoni did an exceptional job with West Fontana Logistics Center. We enjoyed working with them and are very pleased to add this asset to our growing portfolio.”
Located at 10918 Cherry Avenue, the Class A facility is situated on a 6.02 acre parcel set within the Inland Empire West submarket of Southern California, one of the most desirable markets in the nation. Key features of the state-of-the-art facility include 32-foot clear height, 165-foot fully-secured 100% concrete truck court, separate 100% concrete auto parking areas, 18 dock high loading doors, 2 grade-level loading doors, heavy power, and 28 trailer parking stalls (off-dock).
Mr. Chiate said, “West Fontana Logistics Center provides an exceptional core location near the intersection of Interstates 10 and 15 freeways, and just five minutes east of the Ontario International Airport. Additionally, as part of the 3,110-acre Southwest Industrial Park, it is positioned in close proximity to a lengthy list of high profile corporate neighbors.”
Mr. Cole added, “Adding to the desirability of this investment asset, market fundamentals remain exceedingly strong in the Inland Empire West as net absorption tallied over 3.2 million square feet in the first half of 2017, while vacancy ended midyear at 2.2%, a substantial decrease from its rate of 2.8% for the same period a year ago according to Cushman & Wakefield’s latest research.”
About Cushman & Wakefield
Cushman & Wakefield is a leading global real estate services firm that helps clients transform the way people work, shop, and live. Our 45,000 employees in more than 70 countries help occupiers and investors optimize the value of their real estate by combining our global perspective and deep local knowledge with an impressive platform of real estate solutions. Cushman & Wakefield is among the largest commercial real estate services firms with revenue of $6 billion across core services of agency leasing, asset services, capital markets, facility services (C&W Services), global occupier services, investment & asset management (DTZ Investors), project & development services, tenant representation, and valuation & advisory. 2017 marks the 100-year anniversary of the Cushman & Wakefield brand. 100 years of taking our clients’ ideas and putting them into action. To learn more, visit www.cushwakecentennial.com, www.cushmanwakefield.com or follow @CushWake on Twitter.
About Panattoni Development Company
Panattoni is a privately held, full service real estate company that was founded in 1986. Panattoni is an international development company with 12 offices in the United States, 2 offices in Canada, and 6 offices in Europe. Since inception, Panattoni has developed industrial, office, and retail projects in more than 300 markets and has completed over 250 million square feet of development throughout the United States, Canada, and Europe. In Southern California, Panattoni has developed or redeveloped in excess of 375 buildings and 25 million square feet. Since 2012, Panattoni has developed or redeveloped in excess of 30 buildings and 7 million square feet in Southern California. Additionally, Panattoni has approximately 6 million square feet of planned development in Southern California.
For more information regarding Panattoni, please visit the Panattoni website at www.panattoni.com.
About Zurich Alternative Asset Management (“ZAAM”)
ZAAM is the alternative investment adviser to Zurich North America and its affiliates that is responsible for the group’s hedge fund, private equity and U.S. real estate investments. ZAAM runs a national core and core-plus acquisition program out of New York which targets office, industrial, retail and multi-family assets valued between $15 million and $100 million throughout 20 major markets in the United States. This program has acquired approximately $1.5 billion of assets in the past 48 months. ZAAM currently manages roughly $2.5 billion of commercial real estate exposure in the Unites States for its various affiliated balance sheets.