Granite Peak Partners, a Southern California real estate investment firm, recently acquired Victoria Business Park in Long Beach, Calif.
The value of the transaction was approximately $12.5 million.
Located in the South Bay portion of Los Angeles, the two-building, multitenant office/industrial complex consists of 119,576 net rentable square feet located on 6.3 acres.
“The South Bay has historically enjoyed low vacancy rates currently between 3 and 5 percent, and vacancies seem to be declining. The area is a great-performing market,” said Bruce Savett, a founding principal of Granite Peak Partners in charge of acquisitions. “While the property has great curb appeal and is adaptable to a broad range of users, its trump card is its location. The buildings are near five major freeways, close to Los Angeles International Airport and situated near the Alameda Corridor, well positioned to benefit from the business created by the significant trade of goods through the twin ports of Long Beach and Los Angeles.”
Savett sees the supply for new industrial property in Los Angeles as constrained. “There is very little appropriately zoned land available for further development,” he said.
Predictably, rental rates for existing buildings have begun to move up,” explains Savett. “There is substantial reason to believe that this trend will continue and perhaps accelerate. We are confident that Victoria Business Park will provide our investors with attractive income and capital growth in the coming years.”
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