Crane Worldwide Logistics, a global third-party logistics firm, has inked a nearly 378,000-square-foot lease for the entirety of an Anaheim warehouse facility, marking another major local industrial deal during a busy third quarter.
The lease adds to a bit of an industrial reshuffling in the county, as tenants either expand or consolidate amidst shifting demand.
The Anaheim building, near the intersection of Ball Road and S. State College Boulevard, was previously occupied by Bedrosians Tile & Stone, one of the largest independent porcelain tile and stone importers and distributors in the U.S., and run by Orange County’s Bedrosian family.
Bedrosians has occupied the Anaheim building, at 1515 E. Winston Road since it acquired it in a 2005 deal totaling $24 million.
Members of the family-run business own a large portfolio of industrial buildings in Orange County and other markets, which it uses for its own operations as well as investments.
It used the Anaheim site, located next to UPS distribution facility, as a warehouse and customer service center.
Bedrosians is now moving its Anaheim operations into a larger warehouse at 1123 Warner Ave. in Tustin.
That 500,000-square-foot building, located alongside the Costa Mesa (55) Freeway, was previously occupied by Ricoh Electronics, a manufacturer of maker of digital copiers, printed circuit boards, printers and other products that once counted a notable Orange County presence but has been steadily shrinking its local footprint over the past several years.
The Anaheim building along Winston Road marks the first Orange County location for Crane Worldwide, a Houston-based international distribution company that services a broad range of industries.
The Klabin Co. represented Crane Worldwide in the lease, which spans about seven years; Cushman & Wakefield represented Bedrosians.
Bedrosians is expected to keep the Anaheim building in its portfolio, according to Cushman & Wakefield Executive Vice Chairman Rick Ellison.
“This is an expansion for Bedrosians, which has multiple facilities across the country,” Ellison said, adding that Bedrosians also owns another 8 acres in Orange, as well as a retail showroom in Anaheim.
Ricoh, meanwhile, continues its regional retreat.
“It’s difficult to remain competitive in Orange County,” Ellison said. “They sell fax machines and printers, and as we move to a more digital medium, their products aren’t selling as much.”
The company was based in Tustin for several decades prior to moving its headquarters to Georgia in 2016. The Tustin facility spanned 318,458 square feet on Valencia Avenue and shuttered last year.
In recent years, Ricoh has sold off its owned local properties, most of which are not far from the 55 Freeway, in a series of separate transactions to industrial and multifamily developers.
Most recently, it sold a pair of Tustin buildings north of the Warner Avenue facility to industrial developer Dermody Properties for $88.1 million. Dermody demolished the buildings to make way for a new, 300,000-square-foot industrial development slated to deliver next summer.
Earlier in 2021, Ricoh sold a 107,600-square-foot industrial building in Irvine to Alere Property Group, which is planning a 120,000-square-foot industrial redevelopment.
In Santa Ana, Ricoh sold its 15-acre industrial site to a venture headed by Newport Beach-based Arrimus Capital for $43.5 million; the Newport Beach firm later sold the site to Greystar Real Estate Partners after entitling it for a mixed-use residential project.
The three industrial buildings along Red Hill Avenue will be demolished to make way for a residential project that will include 1,100 apartment units and 80,000 square feet of commercial retail and restaurant space.