Westcore Properties Purchases ±1 Million SF Northgate Industrial Portfolio in Inland Empire
Fully Leased Asset Situated on over 44 Acres in City of San Bernardino
San Bernardino, CA – Bentall Kennedy, on behalf of an institutional client, has successfully completed the disposition of a fully leased, two-building Class A industrial portfolio totaling 1,025,324 square feet (sf) in Southern California’s renowned Inland Empire. Known as the Northgate Industrial Portfolio, the asset(s) consisted of the premier distribution buildings at 927 East 9th St. and 7776 East Tippecanoe Ave. situated on more than 44 acres in the city of San Bernardino. The buyer was Westcore Properties, which continues to grow its portfolio within the Inland Empire market.
Cushman & Wakefield’s Capital Markets specialists Jeff Chiate, Jeffrey Cole, Ed Hernandez, Mike Adey, Nico Napolitano, and Bryce Aberg in Orange County and San Diego represented the seller in the disposition along with Phil Lombardo and Chuck Belden of the firm’s Inland Empire office. Westcore represented itself in the transaction. “The Cushman & Wakefield team was instrumental in helping us secure this deal and support our due diligence,” said Hack Adams, senior vice president at Westcore Properties.
Built in 2009, the Northgate Industrial Portfolio consists of two modern single-tenant industrial facilities leased to two strong credit distribution tenants. Each of the buildings provides cross-dock loading, ESFR sprinkler systems, secured concrete truck courts, 30’ clear heights, and T-5 lighting. The properties also provide immediate access to the Southern California freeway system via Interstates 215 and 10 as well as nearby State Route 210. Additionally, the BNSF Intermodal Rail Facility is located within 3 miles while the San Bernardino County airport is just one mile away.
Mr. Chiate, executive managing director, said, “Market fundamentals remain exceedingly strong in the Inland Empire with robust leasing activity of 33.6 msf (on pace to surpass 2015’s record-breaking year) that has resulted in net absorption of nearly 15 msf through the third quarter of 2017. The Inland Empire is one of the strongest industrial markets in the nation, with rents up almost 15 percent this year and with the expectation of continued superior fundamental performance.”
Mr. Cole, executive managing director, added, “The Inland Empire industrial market continues to benefit from growth of E-Commerce and record volumes experienced at the Ports of Los Angeles and Long Beach. The eastern portion of the county leads the region in both leasing activity and absorption for industrial properties.”