CIP Real Estate Acquires San Gabriel Valley Industrial Park for $60.7 Million

CIP Real Estate, an investment firm based in Irvine, has completed the acquisition of the Walnut Tech Business Center in Los Angeles County's San Gabriel Valley for $60.7 million. The seller was an affiliate of AEW. This 200,049-square-foot industrial and flex complex, located at Valley Boulevard and Lemon Avenue in Walnut, comprises 11 buildings with 109 suites ranging from 640 to 8,400 square feet.

The property is currently 92 percent leased, and CIP Real Estate intends to invest $3.5 million into a capital improvement program this year. City National Bank provided $42.9 million in acquisition financing, arranged by JLL. The business center is strategically positioned near the 60 Freeway, serving the City of Industry area, a submarket known for its constrained supply of small bay industrial space.

According to CIP CEO Eric Smyth, quality small bay industrial parks are rarely available for sale in Southern California, particularly in this key L.A. County submarket. This acquisition contributes to CIP's recent activity, which includes over $200 million in industrial park transactions across various markets in the last 90 days, expanding its industrial portfolio to more than $2.5 billion. For developers and investors, this deal highlights the continued demand and premium placed on well-located, smaller industrial assets in supply-constrained urban infill markets.