Newmark : Completes Sale of Newly Constructed Distribution Facility in Kearny Mesa Submarket of San Diego

November 1, 2022 9:00 AM

Newmark[1] announces it has completed the sale of Kearny Mesa Logistics Center, a newly-constructed, 299,381-square-foot distribution facility in San Diego, California for an undisclosed amount.

Newmark Co-Head, U.S. Capital MarketsKevin Shannon and Executive Managing Directors Andrew Briner, Bret Hardy, Jim Linn, Brunson Howard and Ken White represented the sellers, Lincoln Property Company and a real estate fund advised by Crow Holdings Capital.

The Class A, core industrial facility is located at 5650 Kearny Mesa Road and situated on 15.2 acres. Operating as a last mile distribution center, the asset is fully leased to an e-commerce giant. The property is strategically located within Central San Diego and benefits from its proximity to major thoroughfares including I-805, I-15, SR-163 and SR-52, providing access for fast, cost effective distribution to all corners of San Diego.

"Kearny Mesa Logistics Center is one of the best industrial assets in San Diego, given its high-quality, sustainable design and scale," said Briner. "The property is strategically located to service the region and provide transportation solutions for a growing ecommerce customer base."

The project features modern building finishes, a 36-foot clear height, cross-dock configuration, abundant dock-high loading capabilities, 120' concrete truck courts and the option to accommodate an extensive pool of logistics-oriented users.

The national industrial market has remained resilient despite recent economic and geopolitical headwinds, according to Newmark Research. For the fifth consecutive quarter, national industrial absorption topped 100 million square feet. The persistent imbalance between demand and new deliveries has pushed vacancy down to 3.7%, likely a cyclical low. Demand remains strong with absorption continuing to outpace deliveries. Over the coming quarters, the deficit between net absorption and deliveries is likely to tighten and reverse as consumer demand softens and construction deliveries rise, given the record-high construction pipeline.

[1] Dba Newmark Knight Frank in California

About Newmark
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries ("Newmark"), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark's comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform's global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. Newmark generated revenues of approximately $3.1 billion for the twelve months ending September 30, 2022. Newmark's company-owned offices, together with its business partners, operate from approximately 180 offices with nearly 6,700 professionals around the world. To learn more, visit nmrk.com or follow @newmark.

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