World Marketing Inc., which does direct mailing for the Orange County Register and Walt Disney Co., is set to move its Fullerton distribution operation to 125,000 square feet of space in La Mirada.
The company’s 86 local workers are expected to move in January to part of a 221,000-square-foot industrial building at 14407 Alondra Blvd., a couple of blocks from the county line in Buena Park, according to Chief Operating Officer Ben Madril.
World Marketing is set to lease more than half the building for seven years from Aurora, Colo.-based ProLogis, which recently bought it for $13.4 million. World Marketing is expected to pay 55 cents per square foot per month, for a total lease value of $5.8 million, Madril said.
The company is looking to grow to 125 workers in five years and take up the extra space, he said. World Marketing is leaving about 100,000 square feet in Fullerton.
The Omaha, Neb.-based company has a five-year expansion plan to raise local sales 10% annually from last year’s $13 million, according to World Marketing officials.
The company targets large companies with big marketing budgets, according to Henry Provencio, vice president of sales with World Marketing.
“We have a very definite group of clients,” Provencio said.
The company has done work for the Disneyland Resort and Knott’s Berry Farm, Los Angeles-based mutual fund manager Capital Group Cos. and Orange-based mortgage lender Ameriquest Capital Corp., Provencio said. It’s also done work for governments such as the county of Orange, he said.
World Marketing ships 5 million to 8 million pieces of mail a week from Fullerton, according to Provencio.
The company bought its way into the county with its acquisition of Diversified Direct Inc. in 2002.
In August, World Marketing dropped the Diversified name, which was used for 25 years in Fullerton and 29 years in the county, Provencio said.
The company looked in Orange County for a larger building to lease but couldn’t find anything, according to Madril. The La Mirada building is less than 10 miles from the current one, he said.
Commercial brokers repeatedly have said there are fewer large blocks of industrial space,anything greater than 100,000 square feet,available than a year or two ago. The trend could cause some large companies to leave the county and could push up rents, they said.
Robert Crigler, whose company Mac Investment Co. of Inglewood owns World Marketing’s Fullerton facility, said he is marketing the two buildings for lease.
The buildings, at 1301 Burton St., could be subdivided into two units of 25,000 square feet each, he said.
Jeff Read of Grubb & Ellis Co.’s Anaheim office represented World Marketing in the La Mirada lease. Bob Crenshaw of Grubb & Ellis’ Anaheim office represented landlord Prologis.
Crenshaw also brokered Prologis’ acquisition of the building.
