Cushman & Wakefield Inks 64,000 SF Lease in Los Angeles
16 Mar, 2012, Los Angeles
Commercial real estate services firm Cushman & Wakefield, Inc. has arranged a 64,000-square-foot industrial lease for NRI USA at 13200 South Broadway Avenue in Los Angeles, marking the Canada-based third-party logistics company's entry into Southern California. Cushman & Wakefield's Los Angeles South team of Rusty Smith, Steve Bohannon, and Rooney Daschbach represented NRI USA, and landlord Prologis was represented in-house.
NRI USA is a strategic partnership between Canada's NRI Distribution Inc. and Westlife Distribution. NRI provides turn-key fulfillment, inventory management, vendor compliance, freight, returns management, and related logistics services.
"NRI had very specific needs that changed during a site search of several months," said Smith. "What began as a search of class B product ended up with a requirement for a class A building with such features as an ESFR sprinkler system. Prologis had a location that met all of the company's requirements."
Recent transactions such as the NRI USA lease signal an improving industrial market in Southern California, according to Smith. "We are beginning to see vacancies tighten up," he said. "With the positive absorption we saw at the end of 2011, available product is starting to get a little tighter, rental rates for class A product are back to near all-time highs, and rental rates overall have risen over the past four or five months.
"Other trends we are seeing include a lack of subleases currently on the market, and the number of available buildings in the size range of NRI's facility is down from a year ago," he said.
Cushman & Wakefield, Inc.'s industrial brokerage platform provides global resources and local expertise for tenant and landlord representation, disposition and acquisition services, transaction management, and industrial consulting including labor and demographic analysis. In 2010, this group completed more than 4,800 industrial real estate transactions - totaling 141.6 million square feet in leases and 52.9 million square feet in sales - with an aggregate value of nearly $5 billion. This represented a year-over-year revenue increase of 26.7 percent.
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