Ontario Industrial Building Nets Above-Asking Price

A 236,700-square-foot freestanding industrial building in Ontario recently sold to Newport Beach-based Nuveen Real Estate at an above-asking price. The asset was acquired from the occupant, Myers Power Products Inc. in a sale-leaseback transaction, according to Chris Migliori, executive vice president at DAUM Commercial Real Estate Services.

“The seller had an exceptionally well-located 100 percent-leased class-A industrial asset in one of the most desirable submarkets in the Inland Empire,” says Migliori. “Based on deep, long-standing relationships with industrial investors active throughout Southern California, we were able to quickly source an experienced well-capitalized buyer who recognized the full value of the asset, ultimately securing above asking price.”

The property is located at 2950 E. Philadelphia St. This site is adjacent to the Ontario International Airport and bounded by Interstate 10, Interstate 15, State Route 60 and State Route 83.

“The tenant invested significant capital in the property over the last 12 years of ownership and occupancy, so it is ideally suited to facilitate the company’s full in-house manufacturing capabilities,” explains Migliori. “Myers is now under a new five-year triple net lease agreement with Nuveen.”

The Inland Empire has continued on an accelerated growth trajectory due to the rise of e-commerce driven by the pandemic, with direct vacancy rates tightening to 2.3 percent in second quarter.