VERNON, CA-TriMas Corp. sells a 22-acre site at 5215 S. Boyle Ave. in Vernon to AMB Property Corp. Originally developed from the 1940s through the 1960s to support Norris Industries defense operations, 5215 S. Boyle Ave. includes more than 400,000 square feet of heavy manufacturing buildings with several existing leases currently in place.
Cushman & Wakefield represented the seller and procured the buyer, and could not disclose the purchase price to GlobeSt.com at this time, however according to an SEC filing, the purchase price was for $13 million, all cash. AMB would not confirm the price. AMB plans to market the vacancies at the property in the short-term with a long-range goal of repositioning the site in order to maximize the significant upside potential in the land enhancing the value of the parcel.
The purchase represents AMB’s first development project in Vernon, a city that consists almost entirely of industrial properties located approximately five miles southeast of Los Angeles. The city is home to more than 1,800 businesses which employ approximately 50,000 individuals. Vernon also consistently boasts one of the lowest vacancy rates in the greater Los Angeles area.
John McMillan, executive director with Cushman & Wakefield, tells GlobeSt.com that "AMB purchased the site for substantially below current land sale value for clean & graded sites ready for construction."
McMillan adds that "Trimas was selling the property as it was deemed excess corporate real estate. They no longer occupied the site and had leased out the various buildings on the site to other tenants for the past 10 to 15 years." He adds that the company is not in the real estate business, "so they decided to sell it to someone who is."
As for vacancy, McMillan tells GlobeSt.com that the site has approximately 200,000 square feet of vacancy at this time.
Headquartered in Bloomfield Hills, MI, TriMas provides engineered and applied products for growing markets worldwide. The company is organized into five business segments: packaging, energy, aerospace and defense, engineered components and cequent. It has approximately 3,900 employees at more than 60 different facilities in 11 countries. TriMas did not return GlobeSt.com queries for further information by deadline.
AMB Property is an owner, operator and developer of industrial real estate focused on the world’s busiest distribution markets in the Americas, Europe and Asia. The company operates as a publicly traded REIT and invests in properties located predominantly in the infill submarkets of our targeted markets.
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