Dedeaux Sheds Big Box Industrial in the Inland Empire

Dedeaux Properties has sold a 1 million-square-foot distribution facility in Riverside to an unnamed institutional buyer. Dedeaux completed the development and signed Cardinal Health to a long-term lease for the entire property. Industrial properties in the Inland Empire, particularly in Riverside, are in high demand, leading to a quick sale for Dedeaux.

“The sale of the building was in line with our original investment strategy, which envisioned a timely disposition following the stabilization of the asset,” Alon Kraft, COO of Dedeaux Properties, tells GlobeSt.com. “Having signed Cardinal Health to a long-term lease, not long after acquiring the building, certainly sped up the process.”

As expected, Dedeaux saw substantial demand for the property, but also in line with the firm’s high expectations, considering the lease with Cardinal Health. “The demand was very strong. This is ultimately a unique asset in the marketplace and one that will be difficult to replicate in bulk,” says Kraft. “This was an extremely well located building leased long term to a Fortune 100 company, so as you can expect, our expectations were very high. There was a lot of interest, which more than met our expectations.”