April 18, 2023 9:00 AM
Newmark announces that it has arranged the sale of Dominguez Business Center, a 41,638-square-foot industrial project situated on 2.0 acres in Ranch Dominquez, an unincorporated community in Los Angeles County, California.
Newmark Senior Managing Director Scott Schumacher and Associate Director Aaron Banks in collaboration with Co-Head, U.S. Capital Markets Kevin Shannon, Executive Managing Director Andrew Briner, and Managing Director Anthony Muhlstein represented the seller, Blackwin Houston, LLC. The buyer was Rexford Industrial.
Located at 19301 S. Santa Fe Avenue, the property was 86% leased at the time of sale, consisting of six tenants with a weighted average lease term of 1.3 years and rents 41% below market. “The site offers significant leasing upside given the existing short-term leases and the ability to reposition the site to accommodate Industrial Outdoor Storage (IOS) users,” said Schumacher. “Tenants are hard-pressed to find adequate space to store trailers, containers and industrial equipment in the supply-constrained South Bay. As a result, IOS yard areas are commanding healthy rents and with the added benefit that they require less maintenance than traditional industrial facilities”.
Banks added, “The property represents a highly desirable, port-proximate site in the hyper-infill South Bay submarket. This high barrier-to-entry submarket is experiencing sustained tenant demand for well-located assets such as Dominguez Business Center.”
The South Bay is one of the leading industrial submarkets in the world, boasting a vacancy rate of 1.2%, with limited land available for new industrial development. The location provides direct access to I-710 and I-405 and is proximate to the region’s primary economic engines—the Port of Los Angeles and Long Beach and Los Angeles International Airport.
 Dba Newmark Knight Frank in California
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark’s comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform’s global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. Newmark generated revenues of approximately $2.7 billion for the year ending December 31, 2022. Newmark’s company-owned offices, together with its business partners, operate from approximately 180 offices with nearly 6,700 professionals around the world. To learn more, visit nmrk.com or follow @newmark.
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