2.6 Million Square Feet of Industrial Space Breaks Ground
REDA Kicks Off Construction on Ontario Ranch Logistics Center Planned for 2.6 Million Square Feet of Industrial Space
Ontario, CA – REDA, a Southern California-based opportunistic real estate investment and development firm, has commenced construction of the first 1,180,908-square-foot industrial building within a planned six-building business park located at 4815 South Hellman Ave. in Ontario, CA. Completion is set for December 2019.
REDA acquired the 125 acres of land for Ontario Ranch Logistics Center between November 2017 and April 2018. Upon completion the logistics center will encompass 2.6 million square feet of state-of-the-art industrial space.
“The overall market dynamics for class A logistics buildings couldn’t be any better than in Ontario. It is a key gateway market in the Inland Empire with immediate access to qualified labor and strong transportation networks. For decades the Inland Empire has demonstrated the ability to provide these key elements which makes developing projects in this market an easy investment choice. Our goal is to create value through transformation. We have elected to focus our efforts on key markets which provide these characteristics,” said REDA Co-Founder and Principal Jason Krotts.
Building 1 features a “flat” 8” reinforced slab; 40’ clearance, 185’ truck courts, 182 dock high loading doors, 220 additional trailer parking stalls, as well as all concrete drive and parking areas.
REDA chose to develop its first building at Ontario Ranch Logistics Center on spec due to immense market demand. To that end the team has already had excellent preliminary interest and expects the building to lease up during construction.
“We feel there is still a lot of runway in the growth of e-commerce due to how it has disrupted traditional distribution and retail models. We live and work in one of the largest MSAs with one of the largest (if not the largest) and most active industrial base of product globally. It makes sense to focus our efforts close to home in Southern California. A majority of the existing industrial product in this region is or will soon be functionally obsolete for the new demands of e-commerce, so the opportunities for new construction are endless,” Krotts added.
To underscore the firm’s bullishness, in 2018 REDA acquired approximately 175 acres of land in Southern California. The firm also entered into escrow or option agreements on an additional 215 acres of land to purchase in the future. REDA received entitlements or development approvals for approximately 4 million square feet of industrial and logistics buildings. While the firm is well-entrenched in Southern California REDA plans to pursue opportunities in the Bay Area and Salt Lake City submarkets.
About REDA: Based in Newport Beach REDA team members have been responsible for in excess of 15 million square feet of entitlement, development, leasing and sales of buildings over the past 30+ years with a valuation in excess of $3 billion. The firm’s executives are experienced in a wide array of property types, with considerable hands-on experience working at the property level. Backgrounds include investment, management, development, finance, property management, marketing, planning and construction. Learn more at https://redallc.com.