By Meghan Hall
Amazon’s eastern expansion continues: Shortly after the e-commerce giant made headlines for a 343,000 square foot lease in Milpitas, the company has taken a whopping 610,813 square feet at the Longfellow Logistics Center in Livermore, Calif. The logistics center, located at 400 Longfellow Court, is owned by Bay Area-based Orchard Partners. The signing of a lease at the property was confirmed in a third-quarter industrial report released by brokerage firm Cushman & Wakefield, although Amazon’s tenancy was first confirmed by The Mercury News.
Orchard Partners and JLL both declined to comment on the transaction. Orchard Partners acquired the property in September of 2017 for about $66 million, or about $108 per square foot.
“From a speed to market standpoint, Longfellow Logistics Center has ‘first-mover advantage’ for large corporate occupiers rethinking their supply chain strategy and looking for a well-located, modern logistics facility,” said Jason Ovadia of JLL in a statement at the time of the transaction. “This location checks plenty of important boxes – from its cost-effectiveness, to its close proximity to customers, affordable housing and labor,” he added.
The Longfellow Logistics Center was originally constructed in 1998 by IDI as a built-to-suit for Circuit City and is situated upon more than 34 acres. Given its size, the Longfellow Logistics Center is the second-largest existing warehouse under one roof in the nine Bay Area counties. The property also includes more than 400 car parking stalls and 175 trailer stalls, 12,000 square feet of office space, warehouse offices and restrooms, and fiber optic capabilities.
The property also boasts solid demographics, with more than 325,000 warehouse, manufacturing and engineering laborers within a 45-minute drive, while all of the region’s major airports and ports, including the ports of Oakland and Stockton, are within a 50-mile radius.
According to Cushman & Wakefield, Livermore and Pleasanton constitute more than 90 percent of the East Bay/Pleasonton market’s industrial inventory. The report states that the Longfellow Logistics Center Lease, which is to begin during the second quarter of 2020, is the second largest lease ever signed in the East Bay/Pleasanton industrial market. Other large leases in the submarket during the third quarter included Mattress Firm’s lease of 166,000 square feet at 7600 Hawthorn Ave., and Omron’s lease of 126,000 square feet at 4225 Hacienda Drive. These leases are good news for the market, states Cushman & Wakefield, as they could attract larger national credit companies to the East Bay.