Newmark : Facilitates Over 530,000 Square Feet of Industrial Leases in Fontana, California

December 1, 2021 9:00 AM

Newmark[1] announces that it has completed two industrial leasing transactions in Fontana, California totaling over 530,000 square feet. Newmark Executive Managing Directors Ron Washle and Mark Kegans represented the tenants in the transactions.

"We were pleased to complete these two transactions and find suitable space for our clients among the unprecedented competition for industrial space in the Inland Empire," said Kegans. "With a 0.9% vacancy rate in the West Inland Empire submarket, desirable buildings that come available are attracting multiple tenant offers."

The first transaction was for Communications Test Design, Inc. (CTDI), a full-service, global engineering, repair and logistics company serving the communications industry. The company extended its 137,244-square-foot lease for five years and expanded into an additional 244,794 square feet, leasing a total of 382,038 square feet at Fontana Commerce Center, two adjacent buildings located at 14597 Baseline Avenue and 14600 Bar Harbor Road in Fontana, California. In addition to Washle and Kegans, CTDI was also represented by co-broker Gary Lorgus of Jackson Cross Partners.

Built in 2008, 14597 Baseline Avenue features 39 dock-high loading doors, two grade-level loading doors, 30-foot clear height and 1,600 amps. 14600 Bar Harbor Road was also constructed in 2008 and features 29 dock-high loading doors, three grade-level loading doors, 32-foot clear height, ESFR sprinklers and 2,000 amps.

The second transaction was for PFXCA LLC, more commonly known as Pet Food Experts, a leading distributor of pet food and supplies. The company signed a 10-year lease for the entire 154,760 square feet at Vintage Park East Industrial Park located at 12060 Cabernet Drive in Fontana, California. Pet Food Experts recently acquired the operating assets of California-based United Pacific Pet (UPP), a regional pet food and animal care product distributor that already operated out of the building.

Vintage Park East is a warehouse/distribution building constructed in 1999 and owned by an operating company of Washington Capital Management, Inc. It features 30 dock-high loading doors, two grade-level loading doors, 30-foot clear height and ESFR sprinklers.

The insatiable demand for industrial space in the region has led to record-low vacancy. According to Newmark Research, industrial vacancy in the Inland Empire is now lower than in Los Angeles, registering 1.0% as of the third quarter of 2021. This is remarkable considering the significant amount of new supply added to the market in recent years as well as the fact that Los Angeles is a highly mature infill market with lower drayage costs to and from the ports.

[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 in excess of $2.5 billion for the trailing twelve months ending September 30, 2021. Newmark's company-owned offices, together with its business partners, operate from over 160 offices with approximately 6,200 professionals around the world. To learn more, visit nmrk.com or follow @newmark.

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