We had several things--our employee base, cost per square foot and capacity of the facility-- to consider before determining a new location
Ontario, Calif. (PRWEB) August 21, 2009
Ontario's industrial market continues to dominate the Southern California region, as demonstrated by 5.86% vacancy rates in comparison to the Inland Empire West's overall vacancy rate of 6.18% and Inland Empire East's overall vacancy rate of 14.24%. One of the factors keeping vacancy low in the City is the ongoing leasing activity experienced in Ontario. According to CBRE, in the second quarter of 2009, Ontario secured more industrial leasing activity than any other city in the Inland Empire.
"While the continual decline of imports at the Los Angeles and Long Beach Ports has impacted expansion and consolidation in many Southern California cities, Ontario remains the location of choice for industrial sector tenants. Ontario, the leading city in the Inland Empire West continues to dominate with the majority of gross activity," said Leonard R. Santoro, Senior Vice President, CB Richard Ellis.
The 18 leases completed in Ontario in the second quarter represent a collection of new and expanding tenants. Trek Bicycle Corp., a global leader in bicycle design and manufacturing, signed a lease for 207,018 square feet of space at Shea Center Ontario in Ontario. The company will use the space as its West Coast Distribution Center to store and ship bicycles and cycling products to dealers in the western third of the United States. The lease marked an expansion and relocation for the company that has been operating in Ontario for five years. According to Ron Faraher, General Manager for Trek Bicycle Corp., the company surveyed surrounding communities in search for the best fit financially and operationally for its West Coast Distribution Center.
"We had several things--our employee base, cost per square foot and capacity of the facility-- to consider before determining a new location," said Faraher. "At Shea Center Ontario, we got a first-rate facility in a strategic location for an exceptional deal."
Hager Pacific Properties leased a 108,703-square-foot office/industrial property in Ontario, Calif., to Kim Lighting, a division of South Carolina-based Hubbell Lighting, Inc. Kim Lighting will use the facility to manufacture high-performance outdoor lighting solutions. According to Hager executives, Kim Lighting will benefit from the property's prime strategic location and abundant space for product development and storage as it expands its diverse customer base.
Kim Lighting and Trek are indicative of the continued interest corporate manufacturers and distributors have in locating to Ontario and why the centrally located Southern California city remains the best choice to access key transportation routes and reach a critical customer population on a local, regional and national level.
Ontario has one of the most sought after industrial real estate markets in the nation. Its transportation system including the LA/Ontario International Airport, Interstates 10 and 15 and Route 60, and two rail lines, give companies the access they need to compete in a global economy. In addition, space in Ontario is on average 30 percent less expensive than Los Angeles and Orange counties. As companies consolidate their operations, they will look to Ontario as a viable option for relocation.
About The City of Ontario: The City of Ontario is Southern California's Next Urban Center. Located just 35 miles from Los Angeles, Ontario is uniquely positioned as the "economic engine" of one of the fastest growing regions in the United States. Ontario is home to the LA/Ontario International Airport, and an incomparable transportation system of three major freeways and two railroads that provide access to the region, the nation and the globe. With a highly skilled local talent base and lower cost space than coastal counties, Ontario, California is the place to do business. For more information, visit http://www.ontariocalifornia.us.
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