Buyers Pay $21M for 11 Industrial Buildings

The 221,253 sf at Valencia Business Center comprises 25 buildings ranging from 5,117 sf to 23,816 sf on a site at the intersection of East Valencia Drive and Sally Place, close to the Fullerton Amtrak Station. Mike Hefner of the Anaheim Metro office of Voit Commercial Brokerage says that the Voit team located 11 qualified buyers before the completion of construction of the project, which he describes as "well-located in a mature industrial market."

Prospective buyers are showing continued interest in the project, with two buildings in escrow and "strong interest in the remaining buildings," according to Hefner. He and Mike Vernick of Voit Commercial Brokerage's Anaheim Metro office represented the seller, Magellan Group, in each of the 11 sales transactions. Hefner and Vernick also represented two of the 11 total buyers in the transactions.

The 11 properties that sold ranged from 7,618 sf to 14,587 sf and closed at prices ranging from $1.5 million to $2.6 million. Eight of the buildings are on Valencia Drive and the other three on Sally Place.

The new industrial buildings at the Valencia Business Center are part of an Orange County industrial market that has shown resilience despite the economic downturn, according to a recently released quarterly report by Voit. The second quarter report finds overall vacancy at 4.36%, approximately 60 basis points higher than it was one year ago, when vacancy stood at 3.79%, but the vacancy is still at a record low and is still at a very healthy level, according to the Voit report.

The lowest vacancy rate in the county, 3.68%, can be found in North Orange County, the largest submarket in the county with 46% of all the county's industrial buildings.