The Magellan Group Acquires Los Angeles Industrial Property for $10.75 Million
Los Angeles, CA (June 17, 2012)
The Magellan Group, a leading Southern California real estate investment and development firm, has purchased a 200,000-square-foot industrial building in Los Angeles for $10.75 million through a joint venture between Principal Financial Group and Magellan Industrial Fund (MIF). This purchase furthers the company's investment plan of acquiring value-added properties in Southern California.
"This acquisition fits very well within our broader investment strategy of acquiring industrial and storage properties where we can add significant value through property upgrades, leasing and new development," said Magellan Principal and Co-founder Kevin Staley.
The Magellan Group recently acquired two storage properties in Los Angeles for $11.2 million, and the firm has acquired approximately 1.1 million square feet of industrial and self-storage space over the past 18 months.
The 14.7 acre property, located at 3030 South Atlantic Boulevard
in Vernon, includes an undeveloped 6.8 acre parcel that The Magellan Group plans to improve with a paved yard area and potentially a new 90,000-square-foot building. Overall, The Magellan Group plans to invest $1.5 million in building and property upgrades, including the addition of 15 dock-high loading bays, according to Martin Slusser, Principal and Co-founder of Magellan.
Formerly occupied by International Paper Company, the building has excellent visibility from the adjacent 710 Freeway, with access at Bandini Boulevard. The building also features 20,000 square feet of mezzanine office space.
"The improvements that we plan for the property, together with the building's excellent central location, freeway accessibility and abundant power present a compelling new option for distribution and manufacturing tenants in the area," added Slusser.
Bart Pucci, a Senior Managing Director in Studley's downtown Los Angeles office, represented both buyer and seller in the transaction.