LOS ANGELES—The Magellan Group has acquired a26.8-acre plot of land for $20.5 million from a joint venturebetween Penwood Real Estate Investment Managementand Wohl Property Group. The land is the largestland parcel entitled for industrial development in the Los Angelesarea. The developer plans to build a 500,000-square-foot,five-building industrial facility on the site.

The Magellan Group will partner with Principal RealEstate Investors for the development, which will cost anestimated $55 million. Called Magellan Gateway, the project,located at 4127-4213 Temple City Blvd., is scheduled for completionin the second-half of 2015.

According to Kevin Staley, principal andco-founder of the Magellan Group, the acquisition is in line withthe company's growth strategy in Southern California. The sitelocation in the San Gabriel Valley is one of the key industrialmarkets due to its access to central Los Angeles and proximity tofreeways. The market has a 3.3% vacancy rate, the lowest since2008.