Transwestern Investment Group has acquired Arenth Commerce Center, the two-building industrial property located at 17891 – 17907 Arenth Ave. in Los Angeles.
“This investment complements our strategy to aggregate a portfolio of infill industrial assets in and around the Los Angeles market,” said John Higgins, Director of Acquisitions at TIG. “The property presented an opportunity to acquire an asset well below replacement cost in a landlord-friendly leasing environment with near-term rollover of existing tenants and rents well below market. The asset consists of one single-tenant and one multitenant building with staggered rollover and a variety of suite sizes providing attractive diversification within the property.”
The the 90,318 square feet property is in the City of Industry submarket, which has consistently been a top-performing industrial market across the nation. With a vacancy rate below 1.5% at the end of 2019, the City of Industry submarket has averaged more than 9% annual rent growth since 2014.
Arenth Commerce Center is fully leased, with ELA Lighting occupying the entire 49,000-square-foot building at 17891 Arenth Ave. TIG plans to invest in capital projects to improve the overall aesthetic and function of the property, including exterior paint and landscaping, signage and parking lot repairs.
The location provides tenants with exceptional transportation and logistics options, including easy access to Highway 60 and interstates 10 and 605. The property is approximately 15 miles from Ontario International Airport, 34 miles from Hollywood Burbank Airport, and 40 miles from both Los Angeles International Airport and John Wayne Airport.
Transwestern Real Estate Services (TRS) will provide property management services for the property. Cameron Merrill and Case Dahlen of CBRE are providing leasing services. Michael Kendall, Gian Bruno, John Archibald and Peter Lee of Colliers International represented the undisclosed seller.
Transwestern Investment Group (TIG®) is a real estate investment adviser with $4.6 billion of assets under management as of year-end 2019.