In California, a development company called Stirling Development recently announced its execution of an industrial lease with the consumer goods company Newell Brands for a distribution center. The lease is for a space spanning 195,508 square feet. Industrial or commercial leases such as this one continue to be a promising area of real estate in Los Angeles and other parts of the Golden State.
The facility where the lease was recently executed with Newell Brands is 370,023 square feet in size and is located at an airport. This transportation hub includes a huge industrial and commercial complex. The facility ended up being finished ahead of schedule despite the excess rains that occurred this year and the large size of the building.
Newell Brands has actually been a tenant at the airport since 2007. However, with the recently executed lease, Newell Brands will now take up more than a million square feet at the airport. The benefit of such big-box leases in this area of California is that they are about 66 percent of the cost of the facilities found in other regional markets. This cost savings is attractive to distribution and manufacturing users.
Although the process of executing the lease with Newell Brands appears to have gone smoothly, not all situations involving industrial or commercial leases are without major hurdles. Before signing a lease, understanding all of the terms of the lease is paramount. An attorney in Los Angeles can help with reviewing a lease document as well as negotiating a lease to ensure that the potential lessee’s best interests are protected.
Source: inlandempire.us, “Newell Brands Leases 195,508 sf Industrial Space At Southern California Logistics Airport“, June 27, 2017