Michael S. Frankel and Howard Schwimmer, Rexford Industrial Realty
Michael S. Frankel and Howard Schwimmer
Co-CEOs at Rexford Industrial Realty
Rexford Industrial Realty is the top local industrial firm in the two tightest warehousing markets in the country: Los Angeles County and the Inland Empire. Rexford is the third-largest industrial real estate investment trust in America, too, and it has been gobbling up more space in Southern California during the pandemic than any other company, by frequently turning out nine-figure buying sprees in quick order.
For the year through November, Rexford has closed $1.4 billion in acquisitions, including the purchase of five Southern California properties for $125.9 million last month.
During its most recent quarterly earnings call, Rexford said it acquired 13 properties with 2.1 million square feet over the three-month period, as well as 140 acres of storage sites and land for redevelopment, all for a total of $880.5 million. With its occupancy rates nearing 99 percent, Rexford reported that it collected almost the same percentage of rent through Oct. 18.
“Rental rate growth continues at elevated levels, and, based on our internal portfolio metrics, market rents within our portfolio increased by 24 percent over the prior year,” Howard Schwimmer said during the call. “This significant increase from recent quarters reflects an acceleration in demand and a lack of availability within our supply-constrained infill markets.”
A few other notable deals this year included acquiring The Box Yard — an industrial business park totaling 261,528 square feet in Downtown L.A. — for $94 million. In April, Quixote Studios, which manages soundstages and production equipment facilities, signed a lease for nearly 124,000 square feet of industrial and office space with Rexford in the San Fernando Valley. And, in the summer, Rexford bought a 27-acre tech campus in South Bay for approximately $182 million. Torrance Technology Campus includes almost 576,000 square feet spread over five buildings.
Schwimmer has worked for Rexford and its predecessor businesses since December 2001. He served as manager, executive vice president and broker for DAUM Commercial Real Estate. Frankel joined in 2005. He was previously responsible for investments at the private equity firm C3, a subsidiary of the Comcast Corporation. — G.C.
