LOS ANGELES, Feb. 8, 2021 /PRNewswire/ -- Rexford Industrial Realty, Inc. (the "Company" or "Rexford Industrial") (NYSE: REXR), a real estate investment trust focused on creating value by investing in and operating industrial properties located in Southern California infill markets, today announced the acquisition of three industrial properties representing 176,670 square feet of improvements, a 2.5 acre industrial outdoor storage site and a 5.6 acre redevelopment site for an aggregate purchase price of $72.7 million. The acquisitions were funded using a combination of cash-on-hand, 1031 proceeds and the assumption of debt on one property.

"As we start the year, we are very pleased with our transaction activity as we continue to source high-quality, irreplaceable industrial properties within supply-constrained infill Southern California," said Howard Schwimmer and Michael Frankel, Co-Chief Executive Officers of the Company. "Acquired through off-market and lightly-marketed transactions, these investments demonstrate the strength of our proprietary sourcing advantage and ability to leverage our value-add expertise to generate superior cash flow growth as we reposition these properties to achieve attractive stabilized yields. Looking ahead, we are well positioned to drive accretive internal and external growth within the nation's lowest-supply, highest-demand industrial market as we leverage our deep local market knowledge and low leverage balance sheet to create shareholder value."

The Company acquired the following properties in January and February through off-market transactions:

• 5002-5018 Lindsay Court, located in Chino, within the Inland Empire-West submarket for $12.7 million or $195 per square foot. The modern, two-tenant building contains 64,960 square feet on 2.97 acres of land and features above standard loading with a 135-foot deep truck court. Following the near-term expiration of the two in-place leases, the Company intends to drive cash-flow growth by implementing a moderate capital improvement plan to reposition and re-lease the property at higher market rents. The stabilized unlevered cash yield on total investment is projected to be approximately 5.0%. According to CBRE, the vacancy rate in the 314 million square foot Inland Empire – West submarket was 1.6% at the end of the fourth quarter 2020.
  
  
• 17907-18001 S. Figueroa Street, located in Los Angeles within the LA-South Bay submarket for $20.2 million or $91 per land square foot. The 100% leased, 74,810 square foot multi-building industrial property provides a low-coverage, 5.6 acre land site featuring immediate access to multiple freeways with the potential for either a) value-add repositioning to further drive rents and cash flow growth at the expiration of in-place leases, or b) ground-up re-development of a modern, single-tenant logistics building. The initial unlevered yield on total investment is approximately 3.5% and the expected stabilized yield is 5.5%. According to CBRE, the vacancy rate in the 219 million square foot LA – South Bay submarket was 1.2% at the end of the fourth quarter 2020.
  
  
• 7817 Woodley Avenue, located in Los Angeles within the LA – San Fernando Valley submarket for $10.0 million or $270 per square foot, including the assumption of in-place debt. The 100% leased, single-tenant industrial property contains 36,900 square feet on 1.63 acres. The property, which had been subject to a loan assumption to facilitate closing, represents the remaining asset in the Van Nuys Airport Industrial Center portfolio recently acquired by the Company during December 2020. According to CBRE, the vacancy rate in the 182 million square foot LA – San Fernando Valley submarket was 2.2% at the end of the fourth quarter 2020.
  
  
• 514 East C Street, located in Wilmington, within the LA – South Bay submarket for $10.0 million or $92 per land square foot. The 100% leased, single-tenant trucking and container storage facility encompasses 2.5 acres of paved, fenced and illuminated yard with a 3,400 square foot office building. The property is located adjacent to the Port of Los Angeles and was leased back to the seller at closing. The initial unlevered yield on total investment is approximately 4.8%. According to CBRE, the vacancy rate in the 219 million square foot LA – South Bay submarket was 1.2% at the end of the fourth quarter 2020.
  
  
• 8888-8892 Balboa Avenue, located in San Diego within the San Diego – Central submarket for $19.8 million or $82 per land square foot. The Company plans to demolish the existing improvements on the 5.6 acre site and construct a new, 120,900 square foot Class A industrial building featuring 36-foot clear heights. The stabilized yield on total investment is projected at 5.6%. According to CBRE, the vacancy rate in the 81 million square foot San Diego – Central submarket was 3.8% at the end of the fourth quarter 2020.

About Rexford Industrial

Rexford Industrial, a real estate investment trust focused on creating value by investing in and operating industrial properties throughout Southern California infill markets, owns 254 properties with approximately 31.9 million rentable square feet and manages an additional 20 properties with approximately 1.0 million rentable square feet.

For additional information, visit www.rexfordindustrial.com.

Forward-Looking Statements

This press release may contain forward-looking statements within the meaning of the federal securities laws, which are based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as "may," "will," "should," "expects," "intends," "plans," "anticipates," "believes," "estimates," "predicts," or "potential" or the negative of these words and phrases or similar words or phrases which are predictions of or indicate future events or trends and which do not relate solely to historical matters. While forward-looking statements reflect the Company's good faith beliefs, assumptions and expectations, they are not guarantees of future performance. For a further discussion of these and other factors that could cause the Company's future results to differ materially from any forward-looking statements, see the reports and other filings by the Company with the U.S. Securities and Exchange Commission, including the Company's Annual Report on Form 10-K for the year ended December 31, 2019 and the Current Report on Form 8-K filed with the SEC on or about the date of this press release. The Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes.

Contact:
Investor Relations:
Stephen Swett
424 256 2153 ext. 401
investorrelations@rexfordindustrial.com

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SOURCE Rexford Industrial Realty, Inc.