X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

FULLERTON, CA-The 1.3-million-sf Fullerton Crossroads industrial complex has been sold to a pension fund advisor, even as a slowdown in tenant demand continues to push up industrial vacancy rates here.

The buyer, Chicago-based Rreef Funds, paid Foster City-based Legacy Partners Commercial $67 million for the property at the intersection of Gilbert Street and Malvern Avenue. It is 97% leased to tenants that include ConAgra Grocery Products Co., Cargill and T-Shirt City.

The property, which previously served as a canning factory for Hunt-Wesson, was purchased by Legacy Partners three years ago. Legacy paid $40 million for the manufacturing facility and then transformed it into an industrial complex, adding five buildings that combined offered more than 500,000 sf.

Shawn Kelter and Michael Merk of Grubb & Ellis brokered the sale, along with Jay Borzi and Steve Silk of Secured Capital Corp.

The deal comes as demand from North County industrial users is starting to cool. The industrial vacancy rate here jumped to 4.7% at the end of the third quarter from 2.6% at the end of the second quarter, according to a recent report by Cushman & Wakefield. In Fullerton alone, vacancies have shot above 11%, the report says.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt. NET LEASE 2020Event

This conference brings together the industry's most influential & knowledgeable real estate executives from the net lease sector.

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.