An industrial portfolio has entered the Southern California market, offering investors an opportunity to capitalize on reliable income paired with a mark-to-market growth potential in the future, as well. Located in La Palma, California, the property comprises four single-story buildings totaling approximately 119,986 square feet across an 8.02-acre site. Priced at $36,089,000, the Westbrook Partners-owned portfolio is represented by CBRE’s capital markets team.
The portfolio, located at 20-26 Centerpointe Dr., boasts 96.7 percent occupancy rate, translating to a secure income stream for new ownership. This stability is further reinforced by a weighted average of 4.3 years remaining on tenant leases. While offering immediate revenue generation, the portfolio also signals further upside with a 7.14 percent cap rate on in-place rents and a 7.64 percent cap rate for mark-to-market rents.
A tenant roster is well-diversified adding an additional layer of security for potential buyers. Ten tenants occupy the space in the portfolio, and some of the companies on the tenant roster include businesses such as Convergint Technologies, ISEC, and the AA credit-rated Honeywell International. Moreover, the portfolio’s triple net (NNN) leases streamline ownership responsibilities, allowing investors to focus on maximizing returns.
The portfolio’s position within the market further strengthens its appeal. According to the marketing document, recent trends demonstrate the sustained demand for low-rise office properties, which have consistently outpaced their high-rise counterparts in vacancy reduction and rental growth. This trend aligns favorably with the portfolio’s characteristics, CBRE contends.
Specific to La Palma and Buena Park, the office/flex submarket vacancy rate sits at a healthy 6.9 percent, significantly below the historical average. The lack of new construction in the immediate area creates a scarcity that adds value to the portfolio, giving it an edge in a competitive market.
La Palma’s strategic location is a significant asset. Nestled between Los Angeles and Orange Counties, the portfolio offers proximity to major business hubs and transportation infrastructure. Direct access to SR-91, I-5, and I-605 freeways provides seamless connectivity across the region. For commuters and businesses alike, the availability of the Long Beach International Airport and multiple Metrolink stations enhances accessibility options and should bolster the portfolio’s desirability, according to the marketing documents.
CBRE’s capital markets team leading the marketing of the portfolio includes Anthony DeLorenzo, Sammy Cemo, Bryan Johnson, Nick Williams, George Thompson and Shaun Moothart.
