$42 million in JV equity and financing for development of Class A industrial buildings near Los Angeles arranged by HFF
LOS ANGELES, CA – Holliday Fenoglio Fowler, L.P. (HFF) announced today that it has arranged $42 million in joint venture equity and construction financing for the development of Perris Circle Industrial Park, a Class A industrial facility with two buildings totaling 594,000 square feet in the Los Angeles-area community of Perris, California
HFF worked on behalf of the developer, Circle Industrial, to arrange the joint venture equity partnership with Cigna Realty Investors. Additionally, HFF secured the construction financing for the partnership with Wells Fargo Bank.
Located in the Inland Empire East submarket, Perris Circle Industrial Park is situated on a 31-acre site at 278-290 Markham Street near Harley Knox and the Interstate 215 Freeway in Perris, California. The buildings will be approximately 72 miles from the Port of Long Beach and 81 miles from the Port of Los Angeles. Perris Circle Industrial Park Building 1 will be a 474,000-square-foot cross-dock warehouse with 112 dock high doors, a 36’ clear height and parking for 153 trailers. The 120,000-square-foot Building 2 will include 24 dock high doors with a 32’ clear height and parking for 31 trailers. Both buildings will be completed in early 2016.
The HFF equity placement team was led by senior managing directors Anthony Brent and Kevin Mackenzie and managing director Ryan Martin.
The HFF debt placement team was led by managing directors Todd Sugimoto and Mark Wintner.
“With significant positive absorption of industrial space in the market, the Circle Industrial development will provide well-located, Class A product to the market that continues to see considerable demand from users for first generation buildings below 500,000 square feet,” Martin, said.
“The project broke ground in August and is anticipated to be available early 2016,” Brent added. “With a scarcity of Class A product and continued demand from buyers and tenants, the project will be offered for sale or lease.”
About Circle Industrial
Circle Industrial is a real estate private equity firm focused on the acquisition, development and operation of industrial properties in Southern California as well as other major US markets with high barriers to entry. Circle Industrial is led by former Prologis, Inc. (NYSE: PLD) executives Pat Maloney and Eric Omohundro, who have been working and investing together for years while at Prologis and now at Circle Industrial. For more information, visit www.circle-industrial.com.
HFF and HFFS (HFF Securities L.P.) are owned by HFF, Inc. (NYSE: HF). HFF operates out of 22 offices nationwide and is a leading provider of commercial real estate and capital markets services to the U.S. commercial real estate industry. HFF together with its affiliate HFFS offer clients a fully integrated national capital markets platform including debt placement, investment sales, equity placement, advisory services, loan sales and commercial loan servicing. For more information please visit hfflp.com or follow HFF on Twitter @HFF.