CARSON, CA—An affiliate of KTR has purchased a 10-acre infill land site in Carson from an unnamed local distributor. The land parcel was part of the distributor's real estate surplus. KTR plans to market the site as a land lease or as an industrial build-to-suit opportunity. The purchase price of the sale was not disclosed.

“The seller decided this was a good time to take advantage of the rising prices of land and dispose of a non-critical asset,” Steve Bohannon, a broker at Cushman & Wakefield, tells GlobeSt.com. “For the buyer, this was a rare opportunity to acquire a quality site that is located in an infill marketplace and is considered quite large in this market.” Bohannon represented the seller and the buyer in the transaction, along with Cushman & Wakefield brokers Rooney Daschbach and Rusty Smith.

Located at 2250 E. Dominguez St. in Carson, the land parcel could accommodate an industrial facility of up to 200,000 square feet. It is located in an extremely tight infill market with little land availability. According to a recent Cushman & Wakefield industrial report, the market is set for another strong year, but may see supply shortages with little land availability for industrial development.

The tight market supply and high barriers to entry made this rather large parcel of land extremely popular. “We received multiple offers from institutional investors, developers, regional logistics firms and out-of-state buyers wishing to enter the South Bay marketplace,” explains Bohannon. Most of the buyers were interested in in using the site as a land lease, build-to-suit or for a speculative industrial development.

Land in the South Bay is so rare, in fact, that last year Prologis purchased a parcel with plans to leave it untouched and rent it out as outdoor storage space. The industrial developer had purchased the 10-acre land site from Hunter Woodworks for $14.2 million.