Rexford Industrial Acquires Industrial Project In San Fernando Valley For $11.5M

Rexford Industrial Realty, Inc. (the “Company” or “Rexford Industrial”)

, a real estate investment trust focused on owning and operating industrial properties located in Southern California infill markets, today announced that it has acquired Avenue Kearny, a 138,980 square foot industrial park located in Santa Clarita for $11.5 million, or $83 per square foot. The acquisition was funded with proceeds from the Company's revolving credit facility. “Our acquisition of Avenue Kearny is the latest example of Rexford's ability to source off-market value-add acquisitions of well-located industrial properties in infill submarkets such as Santa Clarita, where there is high demand and a distinct lack of supply of buildings over 50,000 square feet,” stated Howard Schwimmer and Michael Frankel, Co-Chief Executive Officers of the Company. Avenue Kearny consists of two free-standing buildings and is located in Santa Clarita within the Greater San Fernando Valley sub-market. The buildings, situated on two land parcels totaling 6.0 acres in the Valencia Industrial Center, are currently 100% leased to a single-tenant. In the future, Rexford plans to upgrade the property with overall aesthetic improvements and functional enhancements, to enable the opportunity to capture higher rents upon renewing or retenanting. As of June 30, 2014, according to CBRE, the vacancy rate for industrial properties in the 172 million square foot Greater San Fernando Valley submarket stood at 1.3%.