Industrial Insights - August LA/OC Newsletter
Opening Market Commentary
Rental rates decreased by 3.9% last quarter—the first decline in a decade. Despite this downturn, 2020 is projected to see rent growth exceeding 3% in Q1, Q3, and Q4. The industrial sector continues to demonstrate resilience, though conditions have shifted noticeably. "There are, however, more properties for lease, more subleases available, and...leasing incentives being advertised," indicating the market has transitioned from strongly favoring landlords to offering tenant opportunities in select segments.
New Listings
12250 Industry Street, Garden Grove
A 46,363-square-foot investment opportunity priced at $209 per square foot ($9.69M). The current tenant has occupied the space since 2008 and owns a comparable property nearby, suggesting strong renewal likelihood.
17466 Daimler Street, Irvine
A 40,000-square-foot industrial property recently acquired by BLT Enterprises, specializing in industrial, studio, and waste management facilities. Renovations planned for parking, landscaping, and interior improvements. Rate: $1.20 NNN monthly.
13240 Barton Circle, Santa Fe Springs
A sublease opportunity featuring rare freestanding corner lot with dock-high loading. Recently vacated and immediately available. Expected pricing around $0.94 NNN monthly.
Market Reports
Three comprehensive market analyses provided: Lee National North America covering 31 markets; Orange County industrial metrics highlighting Amazon's expansion; and a national industrial report analyzing top 100 markets.
Author's Book Project
The Logistics of Leasing: A Tenant's Handbook for Industrial Real Estate is currently in editorial review, with audiobook recording planned for Audible following final manuscript approval.