Irvine-based developer Goodman Birtcher has signed one of the largest industrial leases in Southern California in years for a logistics center it’s building in Rancho Cucamonga.
The company, the North American subsidiary of Australia-based Goodman Group, said this month that it landed Georgia-Pacific to lease all of the space at its Goodman Logistics Center Rancho Cucamonga, a two-building, 1.6-million-square-foot facility it’s building in the Inland Empire.
Georgia-Pacific, an Atlanta-based maker of napkins, bathroom tissue and other paper-based products, will use the facility to support its consumer products business.
The logistics center is just off the Ontario Freeway and a few miles from the Ontario Airport.
Goodman Birtcher built the property on a speculative basis, starting construction about a year ago, when the 75-acre project’s cost was estimated at about $150 million.
Terms of the 10-year lease were not disclosed. It takes effect in August and was signed one month prior to the project’s completion.
Georgia-Pacific currently occupies about 760,000 square feet elsewhere in Ontario, according to brokerage data.
The Rancho Cucamonga project is one of three Goodman Birtcher has under development in Southern California, totaling about 4.3 million square feet. The other projects are in Fontana and Eastvale.
The company has an industrial development pipeline in the U.S. estimated at $1.5 billion. It also has major projects in Pennsylvania and New Jersey.
Bella Terra Loan
Los Angeles-based real estate investment banking firm George Smith Partners said it has arranged a $100 million loan for the new ownership group of Huntington Beach’s Bella Terra shopping center.
The 10-year loan covers a nearly 688,000-square-foot portion of the retail center, according to a recent announcement by George Smith Partners. It was sized to a 30% loan-to-value for the property—which implies a $436-per-square-foot value for that portion of the center—and has a 3.41% interest rate.
Prudential Real Estate Investors said in April that it acquired a 75% stake in the 840,000-square-foot center on undisclosed terms.
The real estate investment division of Newark, N.J.-based Prudential Financial said it bought the stake from an institutional investor advised by Dallas-based Sarofim Realty Advisors.
San Jose-based DJM Capital Partners Inc., which has owned and operated the shopping center since 2005, retained its 25% stake in Bella Terra following the deal and continues to manage the property.
George Smith Partners has worked with DJM on financing deals for several of its Huntington Beach properties, including the Pacific City shopping center under construction in Huntington Beach, which got a $93 million loan last year.
Yorba Linda Rentals
Resource Real Estate Opportunity REIT Inc., a nontraded real estate investment trust based in Philadelphia, has paid top dollar for a big apartment complex in Yorba Linda.
The company recently closed on the purchase of Yorba Linda Apartments, a 400-unit complex on La Palma Avenue that’s just north of the intersection of the 91 (Riverside) Freeway and the Foothill (241) Toll Road.
Resource Real Estate paid $118 million, or $295,000 per unit, for the 50-building complex, which is on about 23 acres and whose units total nearly 400,000 square feet. The deal was funded with a $75 million loan, according to regulatory filings.
An affiliate of Arlington, Va.-based AvalonBay Communities sold the complex, which it acquired in 2013 as part of a larger portfolio deal.
The complex was built in 1986 and is 96% leased. The new owner said they intend to upgrade all unit interiors and common area amenities. It’s the only property they own in California, according to the company’s last annual report.
The REIT’s portfolio totaled about 11,000 units in the U.S. at the end of 2014.
