Industrial & flex
property sales. LA.
Warehouse, flex-industrial, owner-user, and medical conversion. San Gabriel Valley and Los Angeles County.
The Los Angeles industrial market has been one of the strongest performing commercial real estate sectors in the country over the past several years, and the San Gabriel Valley, where ARCA is headquartered, has been at the center of that run. Vacancy rates across the SGV and broader LA industrial market have been near historic lows, rents have moved materially above in-place leases on older buildings, and the spread between what tenants are paying under long-term leases and what the market would pay at rollover is often a significant part of the valuation story.
ARCA’s industrial and flex practice covers warehouse, flex-industrial, owner-user, and medical conversion sales across Los Angeles County. Our principals have sold everything from sub-10,000 SF flex buildings acquired by owner-users, including a 9,500 SF property at 943 S Raymond sold to an orthopedic surgeon for medical use, to larger flex-industrial assets like the 29,900 SF property at 225 N Second.
Owner-user buyers are among the most active in the Los Angeles industrial market. We run targeted outreach to identify likely occupants in the submarket before going to market, which often produces a faster, cleaner sale than a broad investor campaign.
Industrial and flex categories.
The building types and transaction structures in ARCA’s industrial practice.
Mixed office-warehouse product.
Flex-industrial buildings, combining office or showroom with warehouse or light manufacturing, attract the broadest industrial buyer pool. Owner-users, investors targeting the in-place rent roll, and buyers underwriting a value-add lease-up story all participate in this segment. We’ve sold flex-industrial in Pasadena, San Gabriel, Arcadia, and other San Gabriel Valley submarkets.
Selling to the occupant.
Owner-user sales require a different marketing approach than investor sales. We identify the most likely occupant categories for your building, based on clear height, loading configuration, zoning, and submarket, and reach out to those businesses directly. The result is often a faster transaction at a price that reflects owner-user premium over investor cap-rate pricing, particularly for buildings under 30,000 SF.
Flex-to-medical repositioning.
The right flex-industrial building, sold to the right medical buyer, can achieve a per-SF value significantly above what the investor market would pay. ARCA has experience identifying flex assets with medical conversion potential and positioning them to healthcare buyers, physician groups, and medical device operators, as demonstrated by the 943 S Raymond sale to an orthopedic surgeon.
Pure industrial investment.
Larger warehouse and distribution assets, typically 30,000 SF and up, trade to a more institutional buyer pool focused on in-place rent roll, lease term, and market rent upside at rollover. The Los Angeles infill industrial market has very limited new supply, which supports values for well-located, functional warehouse product even in a period of broader commercial real estate uncertainty.
A partial record of what we’ve closed.
Each transaction is as unique as the people who own it. Below, a sample of relevant closed activity.
Industrial property sale questions.
How is industrial property valued in Los Angeles?
Industrial and flex property in Los Angeles is valued primarily on a price-per-square-foot basis and on cap rate relative to in-place rents. The San Gabriel Valley and broader Los Angeles industrial market has seen significant rent growth over the past several years, which has moved the market rents that new buyers underwrite above the in-place rents on older leases. The spread between in-place and market rent is often the most important valuation input for investment buyers.
What is flex-industrial and how is it different from warehouse?
Flex-industrial refers to buildings that combine office or showroom space with warehouse or light manufacturing functions, typically with higher clear heights than office but lower than true big-box warehouse. Flex buildings attract a wide range of tenants and owner-users: contractors, distributors, light manufacturers, tech hardware firms, and medical device or healthcare businesses. They trade to a broader buyer pool than pure warehouse and often at pricing between industrial and office on a per-SF basis.
What is an owner-user industrial sale?
An owner-user sale is a transaction where the building is sold to the business that will occupy it, rather than to an investor. Owner-user industrial acquisitions have been one of the most active segments of the Los Angeles market, particularly for smaller buildings (5,000–30,000 SF) where a business can lock in its occupancy cost for 20+ years by owning rather than leasing. We represent sellers in owner-user processes, including off-market outreach to likely occupants in the submarket.
Can a flex-industrial building be converted to medical use?
Yes, in the right circumstances. Certain flex buildings, particularly those with appropriate clear heights, loading, HVAC infrastructure, and zoning, can be repositioned for medical office, clinical, or healthcare-adjacent uses. The 943 S Raymond transaction, in which ARCA sold a flex-industrial property to an orthopedic surgeon for medical use, is representative of this opportunity. Medical conversion can significantly expand the buyer pool beyond traditional industrial investors.
How does industrial location affect value in Los Angeles?
Location drives industrial value through access to freeways, proximity to major ports or distribution hubs (the 710, 60, and 10 corridors are critical), submarket vacancy rates, and land scarcity constraints. The San Gabriel Valley industrial market is among the tightest in Los Angeles County in terms of vacancy, which has supported both rents and values over the past several years. The specific submarket, freeway access, and clear height profile of your building are the first things buyers look at.
Contact our Industrial Team Leads
Matthew Dobson
Industrial and flex investment sales, owner-user transitions, and 1031 replacement.
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Matthew Mazur
Industrial and flex assets across the Inland Empire and Los Angeles basin.
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We’ll bring the current SGV and LA industrial comp data, identify whether your building has an owner-user or investor story (or both), and give you an honest read on where the market is.
No cost. No commitment to list. Owner-to-MD. No junior brokers.
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Current cap rate data for LA multifamily, office, retail, and industrial submarkets.
