A unique industrial investment opportunity has emerged in the tightly held Santa Fe Springs market. CBRE Inc. is marketing a property at 12235 Los Nietos Rd., offering a compelling mix of stable income, operational flexibility, and long-term potential.
The 2.34-acre site boasts a 6,000-square-foot office building on a fully fenced, paved, and secured lot. Zoned for heavy manufacturing (M2), it caters well to outdoor storage – a sought-after and increasingly scarce use in the area, according to the property’s marketing flyer.
The asset is 100 percent leased to ACTenviro, a subsidiary of Republic Services Inc., a waste disposal giant with an investment-grade rating. This tenancy offers buyers predictable cash flow thanks to a triple-net (NNN) lease with 3.5 percent fixed annual increases. Year 1 net operating income (NOI) is projected at $1,057,084, translating to a 6.1 percent cap rate.
The current owner, West Harbor Capital, has significantly enhanced the property’s value. They completed upgrades on the site and office building, addressed environmental concerns, and ensured full compliance with municipal codes. These investments position the property for continued, low-maintenance operation, according to the marketing materials.
The property enjoys a strategic position between the Los Angeles and Orange County markets. Easy access to interstates I-605, I-5, and I-105, as well as significant proximity to the Ports of LA and Long Beach, provide distinct logistical advantages.
With over 40 years of outdoor storage use and recent city approval (2022), the site is grandfathered for this valuable purpose. Additionally, ACTenviro, which has 18 locations across the western U.S., has a strong commitment to the site as its Los Angeles headquarters.
West Harbor Capital purchased the property in March 2022 for $10,050,000, according to public records reviewed by The Registry. With the repositioning and lease in place, the property is now listed for $17,250,000, opening an opportunity for investors to capitalize on the recent value-add work.
The industrial market in LA and Orange County can be notoriously competitive. Properties like 12235 Los Nietos Rd., with strong tenants, outdoor storage capabilities, and a strategic location may offer a rare investment opportunity.
CBRE’s team includes Mark Shaffer, Anthony DeLorenzo, Dylan Rutigliano, Eric Cox, Joe Cesta and Barbara Perrier.
