BELLEVUE, Wash.— Terreno Realty Corporation (NYSE:TRNO), an acquirer, owner and operator of industrial real estate in six major coastal U.S. markets, acquired an industrial property in Rancho Dominguez, California on December 30, 2022 for a purchase price of approximately $22.4 million.
The property at 14805 S. Maple Avenue is between Los Angeles International Airport and the Ports of Los Angeles and Long Beach and adjacent to Terreno Realty Corporation’s improved land parcels at 14725 and 14732 S. Maple Avenue. The property contains a 51,000-square-foot building which is leased on a short-term basis through June 2023, after which the building will be demolished and the property will be redeveloped into a 2.8-acre improved land parcel. The estimated stabilized cap rate of the redeveloped property is 6.2%.
Estimated stabilized cap rates are calculated as annualized cash basis net operating income stabilized to market occupancy (generally 95%) divided by total acquisition cost. Total acquisition cost includes the initial purchase price, the effects of marking assumed debt to market, buyer’s due diligence and closing costs, estimated near-term capital expenditures and leasing costs necessary to achieve stabilization.
Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S. markets: Los Angeles; Northern New Jersey/New York City; San Francisco Bay Area; Seattle; Miami; and Washington, D.C.
