Furniture Importer Leases 550,000-SF HQ

CITY OF INDUSTRY, CA-Furniture importer Poundex Associates Corp. has signed a 10-year lease for 550,000 sf of space at Majestic Realty Co.'s 400-acre Majestic Grand Crossing project that will serve as the new corporate headquarters for Poundex. The 550,000-sf facility will replace other facilities in the City of Industry that now serve as the headquarters for Poundex.

The new facility on Baker Parkway will allow Poundex to consolidate local operations into one location and expand new product lines when the company takes occupancy beginning in March 2007, says Hank Darnell, VP at City of Industry-based Majestic Realty. Darnell and Kent Valley, SVP of Majestic, represented the owner-developer in the transaction. Steve Bellitti of Collier's International in Diamond Bar represented Poundex.

Valley tells GlobeSt.com that Majestic originally began the 550,000-sf Poundex building as a speculative project, but soon after construction began, Poundex agreed to lease the entire building, which is scheduled to be completed in the spring. Terms of the deal were not disclosed, but asking rate for the space is 45 cents per sf per month, triple-net, and Valley says that the deal closed at "very close to that."

The new Poundex facility will include about 8,000 sf of two-story headquarters office space, a shipping office and the rest warehouse space. The furniture importer, which has been in the City of Industry for 16 years, now occupies about 300,000 sf in two buildings, one owned and one leased, and is expected to sell the building it owns.

Established in 1989, Poundex is an importer and distributor for fine furniture, selling to dealers and distributors. The company also has offices in New Jersey and Georgia.