Southern California Industrial Real Estate Blog

Could Perris become like Paris? – Whirlpool takes Long Term Lease

November 18, 2007 on 10:47 pm | In FASCINATING INDUSTRIAL REAL ESTATE INFORMATION, FASCINATING INFORMATION, Investment Opportunities, LIGHTS…CAMERA…TRANSACTION, New Developments, Uncategorized | 9 Comments

Could Perris become like Paris? – Whirlpool takes Long Term Lease

  

Whirlpool Corp. has signed a long-term lease for all 1.7 million sf of a newly developed distribution center in the Inland Empire city of Perris.  Financial terms of the lease were undisclosed. Industry sources, however, indicate that the total consideration is north of $80 million.

The new distribution center, named Perris Distribution Center, is believed to be the nation’s largest single spec industrial building under one roof.  It was developed by Los Angeles-based IDS Real Estate Group.

 Murad Siam, CEO of IDS, points out that the company drew upon all of its core competencies during the three-year development of the Perris Distribution Center: corporate services, real estate management, development management and advisory services. Dan Sibson, senior vice president of IDS, notes that the L.A.-based development firm also benefited from its experience with the 1.5-million-sf Haven Gateway Center in Ontario.
 
According to IDS senior vice president Rob Fuelling, the need for a 1.7-million-sf building was validated by what the company saw elsewhere in the market. “We saw buildings of 1.2-million-sf in the market and 400,000-sf buildings down the street with the same user’s name on them. It was clear to us that there was a need for even larger buildings to accommodate major retailers under one roof.”

 Whirlpool Çorp. senior real estate manager Leslie Wendel directed Whirlpool’s site, location and negotiating efforts, with Jones Lang LaSalle senior vice president Sam Foster representing Whirlpool in the lease. IDS was represented by Chuck Belden, executive director in Cushman & Wakefield’s Ontario office, along with IDS senior vice presidents Sibson and Fuelling. 

 “In spite of the fact that the Inland Empire is by far the largest industrial market in the US, there are still very limited options in land and buildings over 1.5-million-sf,” Wendel says. Foster explains that Whirlpool was originally looking for land to build its own facility to distribute products throughout the Southwest.

“After extensive searching both in the basin and outside the mountain passes, we simply could not find a shovel-ready, adequate-sized parcel of land,” Foster says. He says that the Perris Distribution Center was not only the right fit in terms of size and functionality, but its location within the Los Angeles Basin proved logistically ideal, allowing for intermodal transport to provide better service to Whirlpool’s diverse clientele. 

Jones Lang LaSalle’s Project and Development Services Group, spearheaded by Judy Caruthers and Jon Holzer, has been retained to monitor the delivery and completion of all on-site and off-site improvements associated with the project. 

According to Belden, projects like the Perris Distribution Center have become feasible in the Inland Empire because of the lack of available land for such large facilities within the traditional boundaries of the Southern California Basin. Designed by Hill Pinckert Architects of Irvine, Perris Distribution Center features enough space under one roof to fit 31 football fields. 

Key building features include cross-docking, 30-feet minimum interior clearance, 277 dock-high and four ground level loading doors, ESFR sprinkler system, 220-foot and 250-foot concrete truck courts, trailer parking for 842 units and 1,400 auto parking spaces.
 
Info courtesy of By Bob Howard of GlobeSt.com
 http://www.globest.com/news/1036_1036/inlandempire/166046-1.html

 

 

141,000-SF MORE OF INDUSTRIAL SPACE IN DOMINGUEZ HILLS

November 14, 2007 on 5:27 pm | In FASCINATING INDUSTRIAL REAL ESTATE INFORMATION, Investment Opportunities, LIGHTS…CAMERA…TRANSACTION, PROPERTY WISH LIST, Uncategorized | 4 Comments

 141,000-SF MORE OF INDUSTRIAL SPACE IN DOMINGUEZ HILLS

Rancho Dominguez debuted its new 141,000-sf First Gateway Logistics Center, a distribution and warehouse project designed to take advantage of its convenient location to Southern California ports. The new development is part of a 120-million-sf redevelopment portfolio for First Industrial Realty Trust of Chicago.  The location of the new project along the Alameda Corridor near Santa Fe Avenue and Victoria Street is “close to the nation’s loading dock,” says Bob McIntyre, a senior broker with the Goodglick Co. and the property’s exclusive agent. The Goodglick Co. also represented First Industrial in the April 2006 purchase of the property, which provides access to the 405, 110, 710 and 91 freeways. The site was formerly occupied by an antiquated 125,000 sf warehouse facility. 

 

The new facility is geared toward companies shipping goods into the South Bay from the ports of Los Angeles and Long Beach. The vacancy rate for the Rancho Dominguez industrial submarket, like much of Los Angeles County, has remained low for much of recent memory, indicating a need for distribution and logistics facilities in an area where few sites are available for development.  The Gateway Logistics Center is part of a First Industrial Southern California portfolio that includes projects either under way or completed throughout the region, among them a 356,000-sf warehouse in Rancho Dominguez that the REIT is converting into a modern logistics facility. First Industrial also has plans for up to 3.3 million sf of development on a 205-acre site that it bought this year in Perris, in the Inland Empire.    The Perris project is called South Perris Distribution Center and is situated along the south Interstate-215 corridor. The company acquired the 205 acres through a development and repositioning joint venture, FirstCal 1, with the California State Teachers’ Retirement System (CalSTRS).

Information Courtesy of Bob Howard of GlobeSt.com 

http://www.cityfeet.com/News/NewsArticle.aspx?Id=26749 

LAND AS DESCRIBED BY THE LAW

November 9, 2007 on 11:07 am | In CHARTS + STATISTICS, FASCINATING INFORMATION, Uncategorized | 4 Comments

LAND AS DESCRIBED BY THE LAW
There are no two identical parcels of real estate. Every piece of property in the United States can be identified by its legal description -  a sentence or paragraph describing the location of a specific parcel of real estate. Legal descriptions fall into three categories or types:
·         The Government Rectangular Survey System
·         Metes and Bounds
·         Recorded Plat (Lot & Block Number)

The Government Rectangular Survey

Although the oldest method of creating legal descriptions is by metes and bounds, property in most of the rest of the western United States was originally surveyed by the government. California, before statehood in 1850, surveyed only the boundaries of Spanish land grants (ranchos); since statehood the government survey system has been used throughout. These government surveys form the base from which all subsequent private surveys are made.
In 1785 Congress passed the first law for surveying the new territories of the United States. The initial part of the Wilderness to be surveyed was the eastern portion of what is now Ohio. As each new area was surveyed, the first task was to select a beginning point. After the beginning point was selected, a principal meridian was surveyed straight north and south through the beginning point. There are 31 such principal meridians throughout the United States.
An east-west line, called the baseline, was also surveyed through the beginning point for each territory surveyed. The baselines and meridians are further broken down by lines, going north-south and east-west at intervals of six miles each. These lines create squares which are six miles on each side. These “thirty six square mile” squares are called Townships. Townships are referred to by their distance north or south of the baseline and their distance east or west of the meridian. The numbering to the north starts at T1N (read “township one north”). To the south the number starts with T1S (read “township one south”).
In similar fashion the rangelines form ranges which are numbered consecutively east and west of the meridian. By numbering the tiers of townships and the ranges we can identify any given township very easily. For example, T2S, R3E would be township two south, range three east, or two townships south of the baseline and three east of the meridian (see the township with the X below).
Metes and Bounds
 

Typically the system uses physical features of the local geography, along with directions and distances, to define and describe the boundaries of a parcel of land. The boundaries are described in a running prose style, working around the parcel of the land in sequence, from a point of beginning, returning back to the same point. It may include references to other adjoining parcels of land (and their owners), and it, in turn, could also be referred to in later surveys. At the time at which the description is compiled, it may have been marked on the ground with permanent monuments placed where there were no suitable natural monuments.
 

The term ‘metes’ refers to a boundary defined by the measurement of each straight run, specified by a distance between the terminal points, and an orientation or direction. A direction may be a simple compass bearing, or a precise orientation determined by accurate survey methods. The term ‘bounds’ refers to a more general boundary description, such as along a certain watercourse, a stone wall, an adjoining public road way, or an existing building.
 

The system is often used to define larger pieces of property (e.g. farms), and political subdivisions (e.g. town boundaries) where precise definition is not required or would be far too expensive, or previously designated boundaries can be incorporated into the description.
 

A typical description for a small parcel of land would be: “From the point on the north bank of Muddy Creek one mile above the junction of Muddy and Indian Creeks, north for 150 yards, then northwest to the large standing rock, west to the large oak tree, south to Muddy Creek, then down the center of the creek to the starting point.”
 

In many deeds, the bearing is described not by a degree measure out of 360 degrees, but instead by indicating a direction north or south (N or S) followed by a degree measure out of 90 degrees and another direction west or east (W or E). For example, such a bearing might be listed as “N 42°35′ W”, which means that the bearing is 42°35′ counterclockwise (to the west) from north. This has the advantage of providing the same degree measure regardless of which direction a particular boundary is being followed; the boundary can be traversed in the opposite direction simply by exchanging N for S and E for W. In other words, “N 42°35′ W” describes the same boundary as “S 42°35′ E”, but is traversed in the opposite direction.
Recorded Plat (Lot & Block Number)
Known as the Lot and Block Survey System, Recorded Plat Survey System or the Recorded Map Survey System; this is a method used to locate and identify land, particularly for lots in densely populated metropolitan areas, suburban areas and exurbs. The system is the most recent of the three main survey systems. It began to be widely employed in the United States in the 19th century when cities began to expand into the surrounding farmland. The owners of a large tract of land would create a plat and subdivide the tract into a series of smaller lots to be sold to buyers. This subdivision survey plan would then be recorded with an official government record keeper. The officially recorded map then became the legal description of all the lots in the subdivision. The method became widespread after the post World War II expansion into the suburbs when formerly rural areas became heavily populated and large tracts of rural land were divided into smaller lots.
 

The system begins with a large tract of land. This large tract is typically defined by one of the earlier survey systems such as metes and bounds or the Public Land Survey System. A subdivision survey is conducted to divide the original tract into smaller lots and a plat map is created. Usually this subdivision survey employs a metes and bounds system to delineate individual lots within the main tract. Each lot on the plat map is assigned an identifier, usually a number or letter. The plat map is then officially recorded with a government entity such as a city engineer or a recorder of deeds. This plan becomes the legal description of all the lots in the subdivision. A mere reference to the individual lot and the map’s place of record is all that is required for a proper legal description.
Adapted from articles in Wikipedia and by Stephen Seal