A Gardena property has been sold by Terreno Realty Corporation for $44 million, according to reports this week.
“The property consists of two industrial distribution buildings containing 231,000 square foot on 11.1 acres which is currently under redevelopment,” Yahoo Finance reported. “The property was purchased by Terreno Realty Corporation on December 15, 2017 for $37.6 million. The unleveraged internal rate of return generated by the investment was 6.3%.”
Therefore, Terreno made $6.4 million after holding onto the property for nine years.
Yahoo also said that, “Terreno Realty Corporation acquires, owns and operates industrial real estate in six major coastal U.S. markets: New York City/Northern New Jersey; Los Angeles; Miami; San Francisco Bay Area; Seattle; and Washington, D.C.”
Terreno states that its philosophy is: “We acquire, own and operate functional, flexible properties in infill locations at discounts to replacement cost within our six markets. We operate with a conservative capital structure. We do not do greenfield ground up development or make raw land investments. We are aligned with our shareholders.”
It also says that its operating approach is, “Terreno acquires, owns and operates properties that satisfy submarket demand. These properties may be warehouse/distribution, flex (including light industrial and R&D), transshipment (truck terminals) or improved land parcels, depending on the submarket. To create a margin of investment safety, we acquire both value-add and stabilized properties at discounts to replacement cost.”
Additional information about Terreno Realty Corporation is available on the company’s web site at www.terreno.com.
