Commerce Business Park Complex Sold
Commerce Business Park office and industrial complex in Commerce has been acquired by two buyers for an estimated total of $136 million.
San Francisco-based AMB Property Corp., a large industrial-oriented real estate investment trust, bought 1.38 million square feet of industrial space, 190,000 square feet of “service center” buildings and 56,000 square feet of office and support retail facilities for an estimated $100 million.
The buyer of the complex’s additional 328,000 square feet of office buildings and 33,400 square feet of service-center space is a venture of Irvine-based real estate developer Sares-Regis Group and an investment fund managed by J.P. Morgan & Co. of New York. That group paid an estimated $36 million for its portion of the property.
Due to strong tenant demand and a shortage of development sites in the area, the property at Slauson and Eastern avenues lies in a tight industrial real estate market. Tenants include Reynolds Metals, International Paper, Federal Express and AT&T; Wireless.
The Southern California regional office of Trammell Crow Co. developed the former U.S. Steel site into the business park mostly during the 1980s in partnership with an investment fund now managed by Boston’s AEW Capital Management. Steve Silk and Jay Borzi, formerly of Cushman & Wakefield and now with Secured Capital Corp., brokered the sale on behalf of the AEW-managed fund.
