Industrial Real Estate Boom: Huntington Beach Property Sells for $8.3 Million
Recently, a 26,321-square-foot industrial building located at 15881 Chemical Lane in Huntington Beach made headlines with its sale for $8.3 million. According to CoStar data, the property was sold by Barry S. Jaffe, though the identity of the buyer remains undisclosed. This transaction reflects the ongoing demand for industrial properties in the Orange County area, known for its limited inventory and high market value.
Property Overview
The industrial building, constructed in 1977, sits on a 1.2-acre lot and is currently fully leased to Beach Wire & Cable, a wholesaler that specializes in communication products and equipment. The warehouse includes 4,689 square feet of office space, a secured yard for additional storage, clear ceiling heights ranging from 17 to 21 feet, five grade-level doors, and one dock position for easy truck access. These features make the property not only functional but also versatile for various industrial uses.
Coastal Industrial Opportunities
“This transaction highlights the rarity of coastal industrial opportunities in Orange County,” remarked CBRE First Vice President Sammy Cemo. The scarcity of such properties, coupled with a limited number of new developments, makes these kinds of transactions increasingly valuable for investors. Coastal areas often offer strategic advantages due to proximity to major transport routes and infrastructure, including ports.
Investment Appeal
According to Cemo, the property’s high functionality, coupled with its short-term Weighted Average Lease Term (WALT) and rents that are significantly below market rates, contribute to its investment allure. Such factors render this property a compelling option for buyers looking to capitalize on the growing industrial market in Orange County. Its strategic location further enhances its value, offering easy access to supply chains and logistics operations.
Market Insights
The industrial real estate market has shown resilience even amid broader economic challenges. With e-commerce and logistics experiencing continuous growth, properties like this one are poised to benefit from increased demand. Investors are keenly aware that coastal industrial properties are rare commodities, making them hot picks in the market. If you’re interested in diving deeper into the industrial real estate market, check out more insights on CoStar’s Market Research.
Conclusion
The sale of the Huntington Beach property at 15881 Chemical Lane is more than just a financial transaction; it underscores the evolving landscape of the industrial real estate market in Orange County. As opportunities become increasingly scarce, potential investors should act quickly to seek out similar coastal industrial properties for their portfolios. For expert assistance in navigating this competitive market, consider reaching out to real estate professionals like those at CBRE, who have a proven track record in handling such transitions.
For more information about the Orange County industrial market, explore CBRE’s Research and stay updated on emerging trends and opportunities.
