JP Morgan Lends $85M for SoCal Industrial Development
380,000-SF first phase is expected to finish construction by next summer
By Nick Trombola December 2, 2024 4:45 pm
reprints
Tishman Speyer and Mitsui Fudosan America (MFA) are building a sprawling industrial park in Orange County, Calif., and just secured a hefty construction loan to help get the first buildings underway.
The partnership secured $84.8 million from lender J.P. Morgan Chase toward the first two properties, at 15700 and 15800 Bake Parkway in Irvine, the initial phase of what it calls the Bake Freeway Business Park. CBRE (CBRE)’s Greg Grant and Val Achtemeier brokered the deal.
Spanning 380,000 square feet, the two-building first phase is expected to finish construction by summer 2025. Once fully completed, the four-building complex will span 600,000 square feet.
“Bake Freeway Business Park will bring brand-new industrial space to a location that has been historically underserved with new, Class A product,” Andy Burke, Tishman Speyer managing director, said in a statement.
Tishman Speyer and MFA acquired the 32-acre property, which came fully entitled, late last year for $146 million. The business park is the third acquisition made by the partnership, which formed in 2022 with a $500 million seed funding from MFA and co-investment capital from Tishman.
The joint venture last summer spent about $33 million on a roughly 60,000-square-foot industrial facility in San Francisco, and in June of this year paid $77 million for a 60-acre site in Peabody, Mass., on the northeastern outskirts of Boston, at which the developers plan to build a 700,000-square-foot industrial park similar to the project in Irvine.
Nick Trombola can be reached at ntrombola@commercialobserver.com.
