Market Overview

L'Oréal USA to Open Distribution Center at Tejon Ranch Commerce Center (TRCC)

Share:

L'Oréal USA to relocate professional salon distribution operation to
TRCC, the logistics hub located at the gateway to Kern
County--California's fast-growing distribution region

Tejon Ranch Co. (NYSE:TRC) today announced that it has agreed to terms
on a lease with L'Oréal USA, the largest subsidiary of L'Oréal, the
world's leading beauty company, that will bring SalonCentric, L'Oréal
USA's professional salon distribution operation, to the Tejon Ranch
Commerce Center (TRCC). SalonCentric will occupy the remaining 240,000
square feet of space in a 480,000-square foot building TRC developed in
partnership with Majestic Realty Co.

As part of the move, SalonCentric will relocate its Valencia,
California, distribution center to Tejon. SalonCentric, headquartered in
St. Petersburg, Florida, and operating in 48 states, is the premier
distributor of salon professional products.

"SalonCentric's decision to move its Valencia operations to TRCC, which
is located just 40 minutes north of its current facility, underscores
Tejon Ranch's value as a proven and opportune place for companies
wanting to locate and/or expand in California," said Joseph N. Rentfro,
executive vice president of real estate at Tejon Ranch Co. "It's also
further evidence of Kern County's emergence as a major distribution
region with the ability to serve California and the western U.S."

"We believe Tejon Ranch is the ideal location from which we can serve
our professional salon customers throughout the west," said Bertrand
Fontaine, president of SalonCentric. "Its central location directly on
Interstate 5 provides great access, and given the size of TRCC, we have
room to expand operations to further realize our vision of modernizing
the professional beauty industry."

"Majestic Realty is proud to welcome L'Oréal USA as the second tenant of
our building developed in partnership with Tejon Ranch Co.," said Brett
Tremaine, senior vice president at Majestic Realty Co. "This is just the
tip of the iceberg, as we believe many more companies currently located
in the Los Angeles basin, like SalonCentric, will want to avail
themselves of the Tejon Ranch Commerce Center's strategic location and
outstanding labor pool."

Earlier this year, Dollar General (NYSE:DG) leased the initial 240,000
square feet of space within the partnership's building as it increased
its footprint at TRCC by nearly 40 percent.

"It makes perfect sense for L'Oréal USA to move its professional salon
distribution operation within California to Tejon Ranch," says John
DeGrinis, SIOR, senior executive vice president of Colliers
International, who represents TRCC. "It's all about access. Tejon's
central location with direct access to Interstate 5, allowing
SalonCentric to distribute to its operations throughout the west; the
ability to offer their current employees – and any future employees – a
great, easily accessible location to work; access to a wide variety of
adjacent amenities for employees and professional drivers alike; and
access to total operating costs that are among the lowest in the state,
all add up to some pretty compelling reasons why TRCC represented a
great opportunity for L'Oréal USA," he explained.

"More and more companies are taking notice of what's happening in Kern
County, and at Tejon Ranch specifically," said Craig Peters, executive
vice president of CBRE, who represented SalonCentric in the transaction.
"As available space is at a premium in Northern Los Angeles County—and
commanding premium prices—Tejon Ranch represents an attractive
alternative for companies needing additional space and seeking value for
their businesses."

L'Oréal USA is also applying for economic incentives administered
through the County of Kern's "Advance Kern" policy, which provides
eligible companies the opportunity to seek reimbursement for a portion
of the property and sales taxes they generate. The policy is only
applicable to unincorporated areas of Kern County, like the Tejon Ranch
Commerce Center.

The Tejon Ranch Commerce Center is Tejon Ranch Co.'s 1,450-acre master
planned commercial/industrial development located at the junction of
Interstate 5 and Highway 99 in Kern County, about an hour north of the
Los Angeles basin. It's entitled for more than 20 million square feet of
commercial and industrial space, with about 15 million square feet still
available. In addition to the previously mentioned Dollar General, the
Commerce Center is also home to major distribution centers for IKEA,
Famous Footwear and Caterpillar Inc. (NYSE:CAT).

About Tejon Ranch Company (NYSE:TRC)

Tejon Ranch Company is a diversified real estate development and
agribusiness company, whose principal asset is its 270,000-acre land
holding located approximately 60 miles north of Los Angeles and 30 miles
south of Bakersfield. For more information on the company, please go to www.tejonranch.com.
For more information on the Tejon Ranch Commerce Center, please go to www.tejoncommerce.com.

About Majestic Realty Co.

Celebrating its 70th Anniversary in 2018, Majestic Realty Co.
is the largest, privately-held developer and owner of master-planned
business parks in the United States. With more than
78-million-square-feet in its portfolio, Majestic provides real estate
solutions for tenants large and small, creating jobs, tax revenue and
community benefits across the country. Headquartered in Southern
California, Majestic has regional offices in Atlanta, Bethlehem, Penn.,
Dallas, Denver, Fort Worth and Laredo, Texas, Las Vegas and Phoenix,
Ariz.

About SalonCentric

SalonCentric, headquartered in St. Petersburg, Fla., is the premier
distributor of salon professional products in the U.S. Created by
L'Oréal USA in 2008 and operating in 48 states, SalonCentric has more
than 636 sales consultants, 565 SalonCentric stores and 261 State and
RDA stores. SalonCentric's vision is to be an inspirational force in the
development and success of beauty professionals by providing the best
brands, the best education, the best technology and the best
business-building support. Our commitment to the industry also extends
to proactively fighting diversion, and protecting authorized channels of
distribution. Brands distributed by SalonCentric include: Alterna,
Amika, Bioelements, Bio Ionic, Creative Nail Design, Design.ME,
Dermalogica, Fatboy, FHI, Hempz, Kenra, L'ANZA, label.m, L'Oréal
Professionnel, Matrix, Mizani, Moroccanoil, Olaplex, Pravana, Product
Club, Pulp Riot, Pureology, Redken 5th Avenue NYC, Sam Villa,
Sebastian, Sexy Hair, Surface, Tressa and many other fine brands. For
more information, visit www.saloncentric.com.

About Colliers International Group Inc.

Colliers
International
 Group Inc. (NASDAQ: CIGI) (TSX:CIGI) is a top
tier global real estate services and investment management company
operating in 69 countries with a workforce of more than 13,000
professionals. Colliers is the fastest-growing publicly listed global
real estate services and investment management company, with 2017
corporate revenues of $2.3 billion ($2.7 billion including affiliates).
With an enterprising culture and significant employee ownership and
control, Colliers professionals provide a full range of services to real
estate occupiers, owners and investors worldwide, and through its
investment management services platform, has more than $20 billion of
assets under management from the world's most respected institutional
real estate investors.

Colliers professionals think differently, share great ideas and offer
thoughtful and innovative advice to accelerate the success of its
clients. Colliers has been ranked among the top 100 global outsourcing
firms by the International Association of Outsourcing Professionals for
13 consecutive years, more than any other real estate services firm.
Colliers is ranked the number one property manager in the world by
Commercial Property Executive for two years in a row.

Colliers is led by an experienced leadership team with significant
equity ownership and a proven record of delivering more than 20%
annualized returns for shareholders, over more than 20 years.

For the latest news from Colliers, visit Colliers.com or
follow us on Twitter:
@Colliers and LinkedIn.

About CBRE Group, Inc.

CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company
headquartered in Los Angeles, is the world's largest commercial real
estate services and investment firm (based on 2017 revenue). The company
has more than 80,000 employees (excluding affiliates), and serves real
estate investors and occupiers through approximately 450 offices
(excluding affiliates) worldwide. CBRE offers a broad range of
integrated services, including facilities, transaction and project
management; property management; investment management; appraisal and
valuation; property leasing; strategic consulting; property sales;
mortgage services and development services. Please visit our website at www.cbre.com.

View Comments and Join the Discussion!