This article originally appeared in RENTV Real Estate News & Media.
October 11, 2022
A Los Angeles real estate firm has secured $25 mil in construction money for the development of a 53.3k sf, Class A truck terminal situated on 10.5 acres in Perris. The unnamed borrower has specialized in entitling, developing and operating industrial, logistics, and cold storage properties across California for over 50 years.
The project is located in the southwest portion of the Inland Empire, which is consistently one of the nation’s top performing industrial markets, the surrounding area has quickly become a major hub for logistics companies and big box warehouse users attracted to the combination of larger land parcels available for development and accessibility to the Ports of LA and Long Beach as well as major population centers in Los Angeles, Orange County, San Diego and Riverside, all within less than two hours.
While the property will be developed on spec, it is expected to be pre-leased to a single tenant prior to delivery in Q4 2023 given very limited options for tenants seeking truck terminal space throughout the region. Upon completion, the property will feature 26’ clear heights, 99 dock-high doors, 161 trailer parking stalls, and 5k sf of office buildout.
The construction financing was provided by Buchanan Mortgage Holdings LLC (BMH), an affiliate of Buchanan Street Partners, L.P. The non-recourse loan is at 81 % LTC.