Samsung, Sprouts Lead 1.5M-SF in Leases at Goodman Logistics Center in SoCal
By Greg Cornfield March 30, 2023 1:55 pmreprints
Goodman Group has secured big leases to fill its soon-to-be-complete logistics campus in Southern California in a major score — even for the nation’s premier region for industrial real estate.
The Australian developer announced that electronics producer Samsung, national grocer Sprouts Farmers Market, and Japanese toy and video game publisher Bandai Namco will take 1.5 million square feet total at the four-building Goodman Logistics Center Fullerton in northern Orange County.
Sprouts will take the 336,968-square-foot Building One, Samsung leased more than 1 million square feet of space in Buildings Two and Three, and Bandai Namco will move into Building Four with 173,825 square feet. The campus sits on a 65-acre property at 1829-2289 Orangethorpe Avenue in Fullerton, Calif., less than a mile from Interstate 5 and the Riverside Freeway, and 20 miles from the Ports of Los Angeles and Long Beach.
Joe Hurley, chief supply chain officer of Sprouts, said the logistic center’s location means the grocer will eliminate approximately 725,000 miles annually from its current delivery routes.
“This strategically located distribution center serving our Southern California stores will facilitate fast and fresh deliveries for our 90-plus current stores all within a 250-mile radius of the Fullerton Site,” Hurley said in a statement. “This facility also features ripening room capabilities for bananas and avocados that continue to help better serve our communities with fresh produce.”
National rents for industrial space averaged $7.12 per square foot in February, up 6.9 percent annually and two cents higher than January, according to a report released this week by CommercialEdge. Rent growth was highest in markets adjacent to a shipping port, led by Southern California with the Inland Empire’s average industrial rent rising 15.6 percent year-over-year, Los Angeles’ rising 11.6 percent, and Orange County’s rising 9.2 percent. Orange County is also home to the highest average rents in the nation at $13.20 per square foot.
CBRE (CBRE)’s Sean Ward and Ben Seybold represented Goodman in securing the leases.
Gregory Cornfield can be reached at email@example.com.