Sunday, October 15, 2023

Daum Commercial completes $16 million sale of 43,540 SF warehouse in Compton, CA

Elizabeth Capati
 COSTA MESA, CA – DAUM Commercial Real Estate Services has completed the sale of an industrial warehouse asset totaling 43,540 square feet in the South Bay submarket of Compton in Los Angeles County, California.

Anthony Bergeman, SIOR, an Executive Vice President and Principal at DAUM Commercial, represented the buyer, a private investor. The seller was represented by Jeff Smart and Elizabeth Capati of Colliers. The property at 1303 West Walnut Parkway in Compton sold for $16 million.

Anthony Bergeman

According to Bergeman, the team—part of DAUM’s Investment Division, based in Costa Mesa, California—leveraged their experience to overcome the challenges being felt in the current financing market to deliver a deal that was a win-win for the seller and buyer.

The South Bay market is in extremely high demand coupled with the very tight availability of properties for sale.

“The South Bay communities of Carson, Compton, Rancho Dominguez and Gardena are at the nexus of the huge population center of southern Los Angeles County.

The scarcity of new available space means investors looking for industrial property in this market need a well-connected broker to help identify and close on the deal,” comments Bergeman.

 “Though there has been a slowdown in deal volume thus far in 2023, the closing of this transaction bodes well for the rest of 2023 with CRE deal flows accelerating into 2024.”

 Jeff Smart
Though overall vacancy rates have increased since record lows in 2022, industrial asset vacancies in the South Bay area are still less than 4% in the Carson, Rancho Domiguez, and Compton subsections.

 Last-mile access to large populations continues to drive investor demand for well-located industrial space. 

According to Prologis research, e-commerce’s total share of consumer spend is expected to increase to 25% by 2025, which will continue to drive demand for warehouse space as e-commerce requires three times the logistics space compared to brick-and-mortar retail.

The property sits on 1.8 acres within a highly active industrial hub, and is located blocks away from the 91 Freeway, 20 minutes from LAX, and 30 minutes from the Ports of Long Beach and Los Angeles.

 

Long Beach, CA port

There are two drive-in loading areas and six dock-high doors with ample turning radius for 53-foot truck loading. The site has 93 parking spaces and a fenced yard.

New ownership plans to meet the needs of today’s last mile logistics users by removing the excess mezzanine office space and implementing extensive renovations to reduce and modernize the onsite office footprint.

CONTACTS:


Hanna Kokuashvili / Kiera Moran  
The Smart Agency, Inc.
(949) 438-6262 
hkokuashvili@thesmartagency.com

www.daumcommercial.com. 

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