Colliers International Negotiates a Three-Year Lease for 113,500-Square-Foot Industrial Building in Pacoima, Calif.
Pacoima, CA – April 4, 2011 – (RealEstateRama) — Colliers International, the second largest global real estate services organization, recently negotiated the lease of a 113,500-square-foot industrial building located at 12224 Montague St., Pacoima, Calif. for Natural Balance Pet Foods, Inc., a California-based pet food company. The three-year lease is valued at approximately $1.7 million.
The landlord, a private investor, Michael Lichstein, was represented by David Hoffberg, SIOR and Jerry Scullin of Delphi Business Properties. The tenant was represented by John DeGrinis, SIOR, senior executive vice president based in Colliers International’s Encino office, Patrick DuRoss, associate vice president, and Jeff Abraham, senior associate.
“The 4th quarter 2010 and the beginning of 2011 witnessed some larger transactions in our region,” said DeGrinis. “This is one of five larger transactions (80,000 sf +) just completed in the last four months. Despite a smaller inventory of available larger buildings, we are still seeing ongoing erosion in lease rates. Rents for all five of these transactions are in the $0.40s per square foot range, which evidences the continuing slide we have seen in average rental rates over the past few years. We expect that as supply and demand forces get closer to equilibrium, we will see some firming in rates.”
“We have been working with Natural Balance for many years,” added DuRoss. “Their business has been experiencing significant growth, and current market conditions led them to consider their multiple facility options. In the end, Natural Balance was able to secure a good distribution facility that will accommodate their immediate growth at very low rents relative to prior years.”
TEAM DeGRINIS is a specialized group within Colliers International that provides consulting on industrial and R&D real estate requirements in the Ventura County and San Fernando Valley. With a combined 40 years of experience in the commercial real estate industry, TEAM DeGRINIS is a leader in sharing strategic local market insight and has completed more than $425 million in transactions over the past five years. For more information, visit www.colliers.com/markets/greater_los_angeles/degrinis.
About Colliers International
Colliers International is a global leader in real estate services with more than 15,000 professionals operating out of 480 offices in 61 countries. As a subsidiary of FirstService Corporation (NASDAQ: FSRV; TSX: FSV and FSV.PR.U), Colliers offers the stability of a strong financial partner and significant local ownership providing clients with accountability and enterprising real estate solutions. Colliers provides a full range of services to real estate users, owners and investors worldwide including: global corporate solutions; sales and lease brokerage; property and asset management; project management; hotel investment sales and consulting; property valuation and appraisal services; mortgage banking and insightful research. The Lipsey Company and National Real Estate Investor magazine ranked Colliers International as the world’s number two commercial real estate brand.
Since 1908, Colliers has stood at the forefront of the Los Angeles real estate industry. Today, Colliers operates seven offices throughout Greater Los Angeles, including Downtown Los Angeles, Orange County, Inland Empire, South Bay, San Fernando Valley, Santa Clarita and Commerce. Follow us at www.twitter.com/colliersgla.
-###-
Angela S. Hwang
Regional Marketing Coordinator | Greater Los Angeles
Dir +1 213 532 3258 | Mob +1 310 867 4105
Main +1 213 627 1214 | Fax +1 213 327 3258
angela.hwang (at) colliers (dot) com
Colliers International
865 S Figueroa St., Suite 3500 | Los Angeles, CA 90017 | USA
www.colliers.com
