Turnbridge Equities Acquires Eton Industrial Park for $28 Million

Acquisition Marks Launch of New Strategy Targeting Value-Add Multi-Tenant Industrial Properties Across Southern California

Turnbridge Equities, a real estate investment and development firm that uncovers commercial and industrial opportunities, announced the acquisition of Eton Industrial Park, a 205,000-square-foot, multi-tenant industrial park located in Canoga Park, for $28 million. This acquisition serves as the seed deal for Turnbridge’s newly launched investment thesis focused on acquiring and repositioning multi-tenant industrial properties throughout Southern California.

The property is currently 70% occupied, far below the submarket average of 98%, presenting an opportunity to stabilize occupancy. The asset features a diverse range of suite sizes, from 1,400 to 22,000 square feet, which allows for flexibility in accommodating a wide variety of tenants. Turnbridge plans to invest capital to enhance the property’s operations with the goal of unlocking long-term value and driving occupancy growth.

Eton Industrial Park is well-positioned in the West San Fernando Valley, one of the top–performing industrial submarkets in Southern California. The West San Fernando Valley consistently demonstrates low vacancy rates and strong rental rate growth, making it one of the most sought-after submarkets for investors.

“We are excited to launch our new investment strategy on the West Coast with Eton Industrial Park. Given the infill nature of the Greater Los Angeles region with the limited amount of industrially-zoned land available for new development, coupled with particularly high construction costs for multi–tenant industrial specifically, we like the supply constraints for this segment of the market,” said Michael Gazzano, managing director, investments for Turnbridge Equities West Coast office.

The acquisition of Eton Industrial Park represents a strategic opportunity for Turnbridge to launch the new strategy. Given its attractive basis and strong leasing upside, their initial deal in this thesis is downside protected and has the ability to outperform.

Jack Hechinger, vice president, investments added, “The acquisition basis of $135psf provides us the flexibility to invest capital appropriately at the property, allowing us to drive rent and occupancy. We view the West San Fernando Valley submarket as an ideal location to launch our strategy, and we look forward to acquiring more of these assets throughout Southern California.”

The acquisition was brokered by the Newmark team, led by Jeff Abraham, who also will be responsible for leading the leasing efforts for the property.

Information was sourced from BusinessWire. To learn more, contact [email protected].