News Summary
iDC Logistics has signed two major leases in Southern California, totaling 1.1 million square feet. The facilities in San Bernardino and the City of Industry aim to enhance supply chain efficiency and foster job creation. The expansion comes amidst challenges in the Inland Empire industrial sector, yet it signals a notable commitment to logistics growth in the region.
California
iDC Logistics, a third-party logistics company with connections to China, has expanded its presence in Southern California by signing two significant leases totaling 1.1 million square feet. The properties are located in San Bernardino and the City of Industry, marking a strategic move in the competitive logistics market of the region.
The first lease involves 844,311 square feet at Alere Property Group’s facility at 5690 Industrial Parkway in San Bernardino, recognized as the second-largest leasing deal in the Inland Empire for 2025 thus far. The second lease is for 260,000 square feet at 19515 East Walnut Drive North in the City of Industry, which will serve as a dedicated electronics manufacturing hub. This facility is projected to produce between 12,000 to 15,000 units per week for an undisclosed client.
This latest expansion follows iDC’s earlier commitment earlier in the year, where it secured 350,000 square feet in the Inland Empire. The CEO of iDC has highlighted that the new facilities will not only enhance the company’s supply chain efficiency but also contribute significantly to job creation and economic growth within the United States.
The real estate transactions were facilitated by Jeff Vertun from CBRE, who represented iDC in both lease agreements. These deals underscore the increasing importance of aligning commercial strategies for third-party logistics (3PL) within the highly fluctuating industrial real estate market in the Inland Empire.
The Inland Empire’s industrial sector has been facing challenges with rising vacancy and availability rates, alongside a decline in rent prices for eight consecutive quarters. Despite these fluctuations, there remains significant leasing activity in the area, largely due to its advantageous location near the Ports of Los Angeles and Long Beach. The largest leasing deal in the area this year has been EQT’s nearly 1 million-square-foot lease at Hesperia Commerce Center One.
Other noteworthy lease renewals this past quarter include Burlington’s 758,180-square-foot lease in San Bernardino and American Beauty Supply’s 715,433-square-foot lease in Rialto. There is an ongoing effort to bolster the region’s industrial sector, driven by historical transformations, such as the conversion of the former George Air Force Base into a logistics hub.
Moreover, the Southern California Logistics Airport (SCLA) recently celebrated its 30th anniversary. SCLA has transitioned into the largest employment center in the Victor Valley, providing around 4,500 jobs. Since its inception, it has developed approximately seven million square feet of industrial space for major manufacturing and warehousing companies. The operations at SCLA support the entire life cycle of aircraft, while off-airport developments contribute to its growth as a significant industrial center.
City leaders have pointed to the evolution of SCLA as a crucial factor in revitalizing the local economy and generating employment opportunities following the base’s closure. Vacancy rates in Southern California logistics buildings exceeding 100,000 square feet have slightly decreased to 7.1% in early 2025. Additionally, a report from Prologis indicates that annual market rents fell in 2024 for the first time since the 2007-2009 financial crisis, with a notable decrease of over 20% last year specifically in Southern California.
Looking ahead, a modest recovery in market rents and leasing activity is anticipated for 2025 as supply chains adapt to ongoing economic and tariff changes. The area is also expecting future expansions at SCLA, which will include additional air cargo services and new commercial developments, such as a 1.3-million-square-foot warehouse for Goodyear Tire.
Deeper Dive: News & Info About This Topic
- Commercial Observer: SoCal iDC Logistics Leases Inland Empire
- Victorville Daily Press: Southern California Logistics Airport Economic Impact
- CoStar: Logistics Building Vacancy in Southern California Drops
- FreightWaves: Southern California Softness Cited for Drop in Logistics Real Estate Rents
- JLL: Construction Financing for Hesperia Industrial Asset
- Wikipedia: Logistics
- Google Search: Southern California Logistics
- Google Scholar: Southern California Logistics Market
- Encyclopedia Britannica: Logistics
- Google News: Inland Empire Logistics
Author: STAFF HERE CORONADO
The Coronado Staff Writer represents the experienced team at HERECoronado.com, your go-to source for actionable local news and information in Coronado, San Diego County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Coronado Island Film Festival, productions at Lamb’s Players Theatre, community workshops at John D. Spreckels Center, and iconic celebrations at Hotel del Coronado. Our coverage extends to key organizations like the Coronado Chamber of Commerce and Visit Coronado, plus leading businesses in hospitality, dining, and tourism that drive the local economy. As part of the broader HERE network, including HERESanDiego.com, HEREHuntingtonBeach.com, HERELongBeach.com, and HERELosAngeles.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
