CIO Matt Evans, COO Alan Kraft and Todd Platt, CEO of Hillwood with Dedeaux Sycamore Canyon Distribution Park
Dedeaux Properties has massively expanded its industrial footprint in Southern California after purchasing a portfolio with more than 1 million square feet of space.
The newly constructed warehouse and distribution center is on 52 acres at 6275 Lance Drive in Riverside, which is in the industrial capital of the country — the Inland Empire. The purchase is one of the largest single asset industrial acquisitions in Southern California this year.
The property was vacant at the time of the sale. The seller was Hillwood Development Company, which was founded by Ross Perot Jr. in 1988.
The property is the second of a two-building industrial complex totaling approximately 1.4 million square feet that L.A.-based Dedeaux has recently acquired. The immediately adjacent site was purchased through a separate transaction from a different seller. The two properties have been named the Dedeaux Sycamore Canyon Distribution Park.
The Inland Empire remains one of the most sought-after warehouse and distribution markets in the United States, according to Colliers International. The region has some of the lowest vacancy rates and highest rental rates compared with other major distribution hubs. During the second quarter of 2019, the vacancy rate hit 3.4 percent, as demand outpaced new construction completions.
Dedeaux Properties specializes in the investment and development of logistics-oriented real estate
The firm’s CIO, Matt Evans, said in a statement that the purchase is the latest move in a pipeline of about 2 million square feet of development and activities for the firm, including cold storage in Central L.A., truck terminal developments in the Inland Empire and trailer parking yards in South Bay. Last year, the firm sold an industrial park in the City of Industry for $50 million.
Ian DeVries and Chris DeVries of Colliers International represented both the buyer and seller, and they are also handling leasing for the property.