H.I.G. Capital has completed an off-market acquisition of the Saugus Station Industrial Portfolio, located in Santa Clarita, Calif.
Saugus Station consists of 24 buildings totaling approximately 1 million square feet across a 70-acre campus, as well as an adjacent 24-acre, fully horizontally improved industrial development parcel.
Saugus Station is 100 percent leased to tenants operating primarily in the film, television, entertainment and content production industry, and is within the broader San Fernando Valley industrial market. The San Fernando Valley achieved a 1.1 percent industrial vacancy rate in third quarter 2021 and experienced 5.2 percent annual rent growth during the past five years, with minimal new supply under construction. Saugus Station will provide H.I.G. with attractive current cash-on-cash returns, as well as upside via a value-add business plan that is well positioned to benefit from the rapid expansion of film and television content production in
