Rexford Industrial announces $ 188.9 million in investment activities

LOS ANGELES, June 24, 2021 / PRNewswire / – Rexford Industrial Realty, Inc. (the “Company” or “Rexford Industrial”) (NYSE: REXR), a real estate investment trust focused on creating value by investing and operating industrial properties located in Southern california infill, announced the acquisition of five industrial properties comprising 660,254 square feet of improvements on 28.8 acres of land for an aggregate purchase price of $ 188.9 million. The acquisitions were financed with a combination of cash and the proceeds of forward share offers previously executed by the Company.

“Rexford Industrial continues to leverage our exclusive access to the country’s most sought-after industrial property market for fillers. Southern california. Unprecedented tenant demand continues to escalate, driven by the post-pandemic economic resurgence and e-commerce impacts that disproportionately benefit our last mile, Southern california industrial market. With filling Southern california near full capacity occupancy amid a deep and incurable imbalance of supply and demand, we believe these investments are well positioned to generate favorable growth in cash flow as we execute our strategies of building cash flow. value ”said Howard schwimmer and Michel frankel, co-CEOs of the Company. “Since the beginning of the year, we have finished $ 420 million acquisitions with more than $ 600 million additional investments under contract or LOI. We are well positioned with a low leverage balance sheet and substantial liquidity to generate shareholder value through accretive internal and external growth. ”

During the month of June, the Company acquired the following properties:

  • 2425-2535 E. 12th Street located in Los Angeles within the Los Angeles – Central sub-market for $ 93.6 million or $ 363 per square foot. The recently repositioned industrial campus includes 257,976 square feet of improvements on 7.5 acres of land. Located next to the downtown arts district Los Angeles, the high-profile property is aimed at high-end tenants in the creative industry, e-commerce and traditional distribution. The property is 96% leased and offers premium features in 11 tenant spaces with 24ft warehouse clearance and dock level loading. The investment is expected to generate a stabilized initial return without leverage of 4.9% on the total investment, with the potential for favorable cash flow growth thereafter. According to CBRE, the vacancy rate in the 275 million square feet Los Angeles – The central submarket was 1.8% at the end of the first quarter of 2021.
  • 19951, avenue Mariner, located at Torrance, within the Los Angeles – South Bay submarket for $ 27.4 million or $ 307 per square foot. Acquired as part of a lightly-marketed transaction, the large-scale 89,272 square foot industrial building serves as corporate headquarters located on 4.2 acres of land in a prime last mile location. Long-leased, the building features top-notch industrial functionality, including 27-foot warehouse clearance, dock-level loading, and an oversized yard. The stabilized initial return without leverage on the total investment is 5.3%, subsequently increasing with annual increases in contractual rental rates of 3%.
  • 2555 Boulevard E. Del Amo, located in Rancho dominguez, within the Los Angeles – South Bay submarket for $ 13.5 million or $ 174 per square foot. The two fully leased single-tenant industrial buildings include 77,758 square feet of improvements on 3.2 acres of land. The investment offers the possibility of future value-added repositioning with favorable zoning for trailers and outdoor storage. The initial unleveraged return on total investment is 3.8% and is expected to reach over 6.3% after repositioning with modest improvements in a low coverage industrial facility.

    According to CBRE, the vacancy rate in the 218 million square feet Los Angeles – The South Bay submarket was 0.8% at the end of the first quarter of 2021.

  • An industrial property located in the Los Angeles – Greater San Fernando Valley submarket for $ 27.3 million or $ 87 per square foot of land. Acquired as part of an off-market transaction, the single-tenant sale-leaseback includes approximately 100,000 square feet of improvements on over 7.0 acres. The property offers favorable freeway access, proximity to Burbank Airport and the potential for future value-added redevelopment. The investment generates an initial stabilized non-leverage return of 4.4% on the total investment, increasing over time with contractual annual rent increases of 3%.
  • 29120 Commerce Center Drive, located at Valence within the Los Angeles – Greater San Fernando Valley submarket for $ 27.1 million or $ 200 per square foot. Acquired as part of an off-market transaction, the fully leased two-tenant industrial building includes 135,258 square feet of improvements on 6.9 acres. The property offers superior functionality with 30ft warehouse clearance, extended dock loading and favorable proximity to highway access. The initial unleveraged return on the total investment is 3.4% and is expected to rise to over 4.7% as leases in place at below-market rental rates expire and are rolled over at lower rental rates. higher market.

    According to CBRE, the vacancy rate in the 182 million square feet Los Angeles – The Greater San Fernando Valley submarket was 2.4% at the end of the first quarter of 2021.

About Rexford Industriel
Rexford Industrial, a real estate investment trust focused on creating value by investing and operating industrial properties anywhere Southern california Infill Markets, owns 266 properties with approximately 33.0 million rentable square feet and manages another 20 properties with approximately 1.0 million rentable square feet.

For more information visit www.rexfordindustrial.com.

Forward-looking statements
This press release may contain forward-looking statements within the meaning of federal securities laws, which are based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual results to differ materially and the results. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions regarding matters that are not historical facts. In some cases, you can identify forward-looking statements by using forward-looking terminology such as “may”, “will”, “should”, “expect”, “intend”, “anticipate”, “anticipate”, believe “,” estimate “,” predict “or” potential “or the negative of those words and expressions or similar words or expressions which are predictions or indicate future events or trends and which do not relate solely to matters While forward-looking statements reflect the Company’s beliefs, assumptions and good faith expectations, they are not guarantees of future performance. that the future results of the Company differ materially from any forward-looking statements, see the reports and other documents filed by the Company with the United States Securities and Exchange Commission, including read the annual report of the Company on a form. 10-K for the year ended December 31, 2020, and the company’s most recent Form 10-Q. The Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, new information, data or methods, future events or other changes.

Contact:

Investor Relations:
Kosta Karmaniolas
310-691-5475
[email protected]

SOURCE Rexford Industrial Realty, Inc.

Related links

http://www.rexfordindustrial.com


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