Los Angeles, CA — Newmark 1 announces a 135,579-square-foot industrial lease at Tapo Canyon Commerce Center, an under-construction, five-building, 342,557-square-foot industrial campus in Simi Valley, California. Newmark Vice Chairman John DeGrinis, SIOR, Executive Managing Director Patrick DuRoss, SIOR and Senior Managing Director Jeff Abraham, SIOR serve as the exclusive leasing advisors for the project and represented development partners Stream Realty Partners and QuadReal Property Group in the transaction.
“We are thrilled to secure the first tenant at this underway best-in-class industrial complex,” said DuRoss. “With a sub-1% industrial vacancy rate in the San Fernando Valley, the completion of this project will deliver much-needed industrial inventory and provide companies with excellent accessibility to the greater San Fernando Valley. As Tapo Canyon Commerce Center continues to gain traction and exposure, similar industrial occupiers will undoubtedly be attracted to this project given its unparalleled attributes that simply don’t exist elsewhere in the Valley.”
Tapo Canyon Commerce Center is a five-building industrial campus with scheduled construction completion in late October of this year. The brand new, modern industrial buildings range from 25,786 to 135,579 square feet. The remaining leasing options range from 25,786 square feet to 76,445 square feet in four buildings of the campus. Features include 28- to 36-foot clear height, window-lined office space, above regional standard dock-high loading, five different access points to campus and immediate 118-Freeway access.
“Industrial occupiers throughout the LA North region will continue to face the growing concern of whether to operate their businesses out of inadequately sized or functionally challenged facilities given the average age of the region’s industrial base and the continued evolution of the industrial product type. Tapo Canyon Commerce Center provides the market with the modern and efficient solution that best-in-class LA North tenants are seeking, and our pre-leasing of Building 5 at the project is a testament to that need,” said Scott Sowanick, Managing Director for Stream’s Industrial Development Services group.
Located in Simi Valley, Tapo Canyon Commerce Center offers tenants high image street frontage along Tapo Canyon Road and Los Angeles Avenue, immediate proximity to the San Fernando Valley and a central geography to the North Los Angeles region and beyond. The City of Simi Valley is business friendly, amenity rich and consistently ranked one of the safest cities in America.
“The City of Simi Valley is honored to welcome Tapo Canyon’s first tenant to this exciting new industrial development,” said Brian Gabler, City Manager of Simi Valley. “Our city is a prime destination for the entertainment industry, and we hope to see more tenants like this follow suit.”
Sam Glendon of CBRE represented the undisclosed tenant in the lease transaction. LA North, inclusive of Simi Valley, accounted for nearly half of Greater Los Angeles’ net absorption activity through the first half of 2022, with 1.4 million square feet of industrial absorption year-to-date, according to Newmark Research. With a market-wide vacancy rate of only 0.9%, tenants taking occupancy of preleased space continues to drive absorption figures. As quality buildings that come to market continue to be met with multiple tenant offers, new construction is quickly finding tenants.
About Newmark
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark’s comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform’s global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. Newmark generated revenues of nearly $3.2 billion for the twelve months ending June 30, 2022.
Newmark’s company-owned offices, together with its business partners, operate from approximately 170 offices with 6,500 professionals around the world.
