Globe Street Industrial is an industrial warehouse located in the Inland Empire region of California, which has been the top-performing industrial market in the United States. The Inland Empire provides a lower-cost alternative for users looking for larger, modern industrial buildings, while still being within 75 miles of the ports of Los Angeles and Long Beach, which are the two largest ports by volume in the United States. E-commerce users have been a primary driver of growth of the Inland Empire. The Inland Empire/Riverside metropolitan statistical area (MSA) has a population of approximately 4.2 million people and is the 13th largest metro area in the United States. It has an abundant, growing labor force and is rated as the 4th fastest growing metro area in California in 2017.
The Inland Empire continues to be one of the most sought after industrial markets in the country. With low vacancy and strong absorption in the submarket, Globe Street Industrial is well positioned to maintain a durable cash flow throughout our hold period.
With proximity to the two largest ports in the US, Los Angeles and Long Beach, the Inland Empire submarket benefits from its high demand for industrial space, with a vacancy rate of just 2.7% as of 2Q 2019.
The Inland Empire industrial market has outperformed the National industrial market total return over all reported time series. In addition, over the last 15, 20 and 25 year periods, it has ranked as the top market in terms of total return in the NCREIF Industrial Index as of 2Q19.
The Riverside/Inland Empire metropolitan area benefits from strong population, economic, and retail sales growth, all which benefit industrial demand.
