Rexford Leases SoCal Industrial Facility

Rexford’s upcoming facility. Rendering courtesy of CBRE/Rexford Industrial.

Rexford Industrial has preleased an entire upcoming industrial facility in Valencia, Calif. Lief Labs, a dietary supplements manufacturer, has agreed to occupy the 111,260-square-foot building. The property is expected to come online in December and will serve as the tenant’s main operational hub.

A CBRE team comprising Executive Vice President Craig Peters and Vice President Sam Glendon represented Rexford, while Ashland Pacific negotiated on behalf of Lief Labs.

The facility is under construction at 29025 – 29055 Ave. Paine. Rexford started preparing the land in March, while in May it was pouring the slab for the upcoming building. The developer hired BCC Contracting Inc. as general contractor and HPA Inc. as architect for the project.

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The speculative development was initially designed for multiple tenants, but Rexford will modify the space to fit Lief Labs’ specific requirements. The building will feature sky lights, ESFR sprinklers, 30-foot clear height and access to a three-phase, 277/480 volts power connection.

The infill location provides access to Interstate 5 and State Route 126, which are within 2 miles. Corporate neighbors include Amazon, AMS Fulfillment, ITT Aerospace Controls, Pharmavite, among many others.

Recent activity

28903 Ave. Paine, where Lief Labs also occupies space.

Lief Labs also operates out of an adjacent building, at 28903 Ave. Paine, which it leased in 2018. Rexford owns this property as well —according to CommercialEdge, the company purchased it for $17 million in 2017. The property is a 111,346-square-foot warehouse built in 1999 that will support the tenant’s operations at the new space.

Rexford owns 12 properties in the Santa Clarita submarket, totaling roughly 1.1 million square feet of industrial space, according to the same data provider. In 2018, Rexford acquired a 47,000-square-foot property at 28510 W. Industry Drive, which Lief Labs initially occupied before moving to the larger location on Avenue Paine.

Rexford has had a busy first half of the year within the insatiable Southern California industrial market. Last month, the company paid $94 million for The Box Yard in East Los Angeles—the largest of five transactions closed in June. In April, Rexford signed entertainment company Quixote Studios at its 123,974-square-foot creative industrial facility in the San Fernando Valley submarket.

As of May, industrial vacancy in Los Angeles stood at 3.9 percent, among the lowest nationwide and below the 5.7 percent national average, a CommercialEdge report shows. Southern California experienced the steepest climbs in industrial rents—rates in Los Angeles grew by 6.7 percent year-over-year, while rents in the Inland Empire increased by 7.1 percent, according to the same report.