Dedeaux Properties has secured a tenant for its recently completed industrial project in the Inland Empire.
The Santa Monica-based firm cemented a deal with an undisclosed global third-party logistics company to lease 165,000 square feet of space in a Fontana warehouse and distribution facility, L.A. Business First reported. The long-term lease was valued at more than $11 million, a Dedeaux Properties spokesperson told Business First.
The property at 14457 Slover Avenue spans 7.4 acres and features a warehouse and distribution facility with 36-foot clear heights; 21 docks; an early suppression, fast-response sprinkler system; and large secured truck yard with 50 trailer parking stalls. It’s in a key location for trucking, adjacent to Interstate 10, which stretches coast-to-coast from Santa Monica to Jacksonville, Florida.
Cushman & Wakefield brokers Brice Larson, Chuck Belden, Tim Pimentel and Chris Pimentel represented Dedeaux in the transaction, while JLL brokers Jon Gorczyca and Mac Hewett represented the undisclosed tenant.
Dedeaux has been ramping up development in the Inland Empire.
By the end of the first quarter, the firm had completed six industrial developments in Riverside and San Bernardino Counties totaling approximately 850,000 square feet. That includes the aforementioned 165,000-square-foot distribution center in Fontana; a 326,000-square-foot warehouse in Riverside; a 167,000-square-foot warehouse in Ontario; an 83,000-square-foot distribution center in Rialto; and a 52,000-square-foot cross-dock facility in San Bernardino.
Demand for Dedeaux’s projects is increasing, according to Dedeaux president and chief investment officer Matt Evans.
“We saw an increase in the execution of new leases and renewals for both [industrial outdoor storage] and warehouse and distribution assets maintaining overall occupancy across our portfolio at approximately 98 percent,” Evans said in a statement. “With the region experiencing the lowest volume of new deliveries in some time, our recently completed projects are well positioned as first-to-lease assets in one of the strongest industrial markets in the country.”
Dedeaux is purportedly doing well, but overall leasing in the Inland Empire has been languishing.
Leasing activity in the I.E. saw a decline of 59 percent quarter-over-quarter and 30 percent year-to-date, according to Cushman & Wakefield data cited by the Business Times. The brokerage partially blamed the dip on warehouse and logistics tenants taking a more “risk-averse stance” amid higher tariffs and broader economic uncertainty.
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