Prologis pays $47 Million for two Stockton buildings
Central Valley Business Times
June, 29, 2018
- The seller is CT of Newport Beach
- “Reflect the high demand for world-class logistics facilities in major distribution markets”
Newport Beach industrial developer CT says it has sold two newly-constructed buildings at its NorCal Logistics Center in Stockton. to Prologis for $47 million. The two buildings total 575,127 square feet and mark the initial completion of CT’s three-building Phase I development of the larger 4.4 m
Prologis (NYSE: PLD), the largest owner of industrial space in the U.S., paid approximately $82 per square foot for the buildings, which were unleased and in shell condition at closing.
CT was represented in the sale by Kevin Dal Porto, Blake Rasmussen and John McManus of Cushman & Wakefield; Prologis was self-represented.
“These transactions reflect the high demand for world-class logistics facilities in major distribution markets nationwide,” says Carter Ewing, managing partner of CT. “In this case, the transaction allows Prologis to enjoy a fair profit on their investment going forward while providing CT with a sizeable return and well ahead of schedule – a true win-win.”
NorCal Logistics Center is home to General Mills, KeHE Foods, Allen Distributors and Fox Head, and is in the heart of California’s Central Valley, a 185 million-square-foot industrial market. The region is an extension of a global logistics supply chain infrastructure directly linked to West Coast ports in Stockton, Oakland, Los Angeles/Long Beach, Portland, Oregon and Seattle/Tacoma, Washington.
CT purchased the 345-acre industrial site for NorCal Logistics Center in May 2017 and has now completed the first phase development, including a third 1,122,341-square-foot building, one of the single largest speculative industrial buildings in Northern California.
The second phase of development will begin toward the end of 2018 and include three buildings totaling approximately 1.6 million square feet of space, the company says.