LOS ANGELES--Rexford Industrial Realty, Inc. (the “Company” or “Rexford Industrial”) (NYSE:REXR), a real estate investment trust focused on owning and operating industrial properties located in Southern California infill markets, today announced the acquisition of 17311 Nichols Lane, located in Huntington Beach, California, for $17.1 million, or approximately $149 per square foot. The acquisition was completed with cash on hand and borrowings under the Company’s line of credit.
“This investment reflects our focus on acquiring high-quality industrial properties within prime infill Southern California markets at favorable values below replacement cost,” stated Howard Schwimmer and Michael Frankel, Co-Chief Executive Officers of the Company. “This highly-functional Class A facility represents a mission-critical, difficult to replicate location for the in-place credit tenant on a long-term lease. Overall, we are excited with the accretive nature of our acquisitions throughout 2015, which represented a 21% square footage increase in our portfolio since the beginning of the year.”
17311 Nichols Lane is an industrial building containing 114,912 square feet on 5.4 acres of land in Huntington Beach, California. The building is 100% leased, at a below-market rent, to a single credit tenant utilizing the facility as its main west coast engineering and production site for airline interiors and related equipment. Having spent significant capital to create and expand the Class A office portion and to retrofit the warehouse, the tenant is heavily entrenched and has more than eight years of term remaining on its lease plus a renewal option. The property is located in the West Orange County submarket and offers favorable access to the I-405 freeway. According to CBRE, the vacancy rate in the 41 million square foot West Orange County submarket was 2.0% at the end of the third quarter of 2015.
About Rexford Industrial
Rexford Industrial is a real estate investment trust focused on owning and operating industrial properties in Southern California infill markets. The Company owns interests in 120 properties with approximately 12.0 million rentable square feet and manages an additional 19 properties with approximately 1.2 million rentable square feet.
For additional information, visit www.rexfordindustrial.com.
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