In a $100.5 million deal, ASB Real Estate Investments has acquired Bloomington Logistics Center in Bloomington, Calif., from Crow Holdings. ASB purchased the industrial asset on behalf of its Allegiance Real Estate Fund.
Located at 11260 Cedar Ave., the 677,383-square-foot industrial property was completed in November 2018. The Class A space is currently 100 percent triple-net leased to Newgistics, the e-commerce division of the global shipping company Pitney Bowes, through a 10-year lease. The building offers the shipping logistics tenant 36-foot clear ceiling heights, cross-dock loading with 118 dock-high doors, 8-inch-thick slab floors, 185-foot concrete secured truck courts, ESFR sprinklers and 171 trailer parking stalls.
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Bloomington Logistics Center is also strategically located with direct access to I-10 and nearby access to I-15 and I-60. As an industrial property, it’s close to the shipping hubs of UPS and FedEx, to the ports of Los Angeles and Long Beach, and to the Ontario International Airport.
Aaron Duncan, ASB’s senior vice president & head of the western region, said the Bloomington asset was a trophy building in a prime location of the growing U.S. industrial market.
ASB’s strategic moves
Since mid-2018, ASB has acquired more than 5.8 million square feet of industrial space in popular markets like Los Angeles, San Francisco, Houston, Miami, Philadelphia and northern New Jersey. In August, the company spent $123.7 million to acquire another recently constructed 1 million-square-foot distribution facility in Riverside, Calif. ASB also purchased a warehouse in Tampa, Fla. in June and a seven-building industrial portfolio in Sewickley, Pa. in May.
Duncan told Commercial Property Executive that the company’s strategy focuses on the acquisition of industrial assets that are critical and form the backbone of supply chains within growing metropolitan population centers with strong retail consumption trends.
“Within those markets, we are targeting more mature submarkets with easy access to the population center where location is a competitive advantage and barriers to entry are strong,” Duncan told CPE. “We avoid heavily customized investments in greenfield submarkets that are further out where rollover risk and pricing power are more likely to be a concern over the long term.”