New Lease Nets Savings When Tenant Moves

REDLANDS, CA-Tenant Bayer Crop Science will save more than $325,000 over two years in a move from Chino in a deal that’s a sign of the times in the leasing world, according to CB Richard Ellis brokers who represented the tenant in its new lease. Bayer is leasing 102,592 square feet at 27223 Pioneer Ave. in a move from 100,000 square feet in Chino.

Bayer was represented by the CBRE team of Walt Chenoweth, Frank Geraci, Juan Gutierrez and Patrick Wood of CBRE’s Ontario office, along with Brian McLaughlin and Dave Fults from the company’s Commerce office. Chenoweth says that Bayer was looking to relocate in order to take advantage of current market rents and reduce occupancy costs.

Located in the Prologis Business Park, the building offered the best rate available in the market for a new building with 30-foot ceiling clearance and ESFR sprinkler system, Chenoweth says. The space also offers truck loading and yard area on two separate sides.

Bayer, which will use the space for wholesale distribution of consumer landscape and agricultural protection products, wanted a short-term lease in order to remain flexible regarding potential growth in the near term. To protect the tenant if there is no need to change the size of the space, the CBRE team negotiated an additional fixed-rate extension option that will allow Bayer to remain in the space for an additional year term at current rental rates.