CBRE listing shows Class A distribution facility for sale at $399 per square foot
East Los Angeles has a new industrial offering on the market as a recently constructed distribution facility at 2830 Lugo St. has been listed for $15.16 million. The 38,000-square-foot property, built in 2022, represents one of the newer additions to the city’s industrial inventory and features specifications designed to meet current warehouse and distribution requirements.
The asking price translates to $399 per square foot, positioning the property within the higher end of the county’s industrial pricing spectrum despite broader market headwinds affecting the sector. According to a marketing brochure from CBRE, the facility sits on a 1.52-acre lot in the M3-1 zoning district and includes two dock-high doors with 30-foot ceiling heights, providing the vertical clearance that has become standard for modern logistics operations. Marketing materials show that the property features a 16,000-square-foot, two-story office component, which accounts for more than 40 percent of the building’s total area—a substantially larger office allocation than typical warehouse facilities.
Parking amenities include approximately 50 spaces, yielding a ratio of 1.32 spaces per 1,000 square feet. The site also offers electric vehicle charging stations and a fenced yard, reflecting infrastructure updates that have become more common in recent industrial developments. The property’s Class A designation and recent construction vintage differentiate it from much of the county’s older industrial stock, though the changing market conditions affect newer facilities as well. The East Los Angeles location provides access to the greater metropolitan distribution network, though specific tenant demand in this submarket has not been disclosed. CBRE brokers Cameron Merrill and Matthew Tuinstra are handling the sale of the 2830 Lugo St. asset.
The listing arrives as the Los Angeles industrial market experiences significant adjustment. County-wide vacancy reached 6.3 percent in the third quarter of 2025, marking an 80-basis-point increase from the previous year and a 10-basis-point rise from the second quarter. The market has absorbed 3.8 million square feet of new construction over the past three quarters, while net absorption posted a deficit of 577,772 square feet year-to-date.
Rental rates have declined accordingly. Average asking rents fell 2.8 percent quarter-over-quarter and 5.4 percent year-over-year to $1.40 per square foot on a triple-net basis. The downward pressure on pricing stems from elevated vacancy levels and increased sublease availability, marking a sharp departure from the double-digit rent growth that characterized the market during the pandemic-era industrial boom.
The Lugo Street facility’s scale places it in a mid-sized category that often appeals to owner-users as much as to institutional buyers. The large office footprint may attract tenants seeking hybrid industrial setups, although it could also narrow the candidate pool for traditional logistics occupiers. With vacancy rising and concessions becoming more common across the county, buyers may weigh whether the building’s new construction and zoning flexibility offset the broader market’s price sensitivity.
