Rexford Closes $245M of Deals in Irwindale
Rexford Industrial Realty, Inc. completed investment activity of $245 million for two Irwindale properties within the LA – San Gabriel Valley industrial submarket. The REIT acquired the fee simple interest in a 100% leased property at 15801 W. 1st St., through a $120-million off-market transaction. It also issued a $125-million loan to the seller, securitized by an adjacent 150-acre industrial development site.
“These investments demonstrate Rexford Industrial’s ability to leverage our deep, proprietary access to significant value-creation opportunities within our target infill Southern California industrial property markets,” said Howard Schwimmer and Michael Frankel, co-CEOs of Rexford. The Los Angeles-based REIT has another $100 million of properties under contract.
The combined $245-million investment is projected to generate an aggregate 6.8% initial unlevered stabilized cash yield, Rexford said. According to CBRE, the vacancy rate in the 161-million-square-foot LA – San Gabriel Valley submarket was 1.5% at the end of the third quarter.