Balboa Water Group is moving out of its Valencia Commerce Center building, and according to sources, neighboring Stellar Microelectronics also plans to move in the coming year.
That would open up almost 310,000 square feet of industrial space in Valencia.
Balboa Water Group, a maker of spa and whirlpool bath components, plans to vacate 28545 Livingston Ave. W., a 173,000-square-foot industrial building off Witherspoon Parkway.
The Valencia operation is the company’s global plastics manufacturing base for pumps, jets and white goods for whirlpool baths and hot tubs.
The state Employment Development Department reports that Balboa Water Group has given notice that it will lay off 245 people due to a permanent closure effective Jan. 6, 2017.
Balboa Water Group management did not respond to a request for comments.
The building is fully air-conditioned, has eight dock-high and four ground-level truck loading doors, 28-foot clear height ceilings and 4,000 amps of power. There is also space to add 16 truck-high doors.
The asking rent will be 65 cents per square foot, according to NAI Capital Inc. Executive Managing Director Chris Jackson, whose company is handling the leasing arrangements.
He noted that there is a great demand for industrial space in Santa Clarita.
“The vacancy rate is under two percent,” he said.
Across the street at 28454 Livingston, the Flextronics building, which is occupied by Stellar Microelectronics will also become available as a sublet, according to Jackson.
The industrial building is 134,287 square feet and sits on nearly 14 acres of land. It was sold to industrial real estate investment firm Rexford Industrial Realty L.P. of Los Angeles in May.
Flextronics International purchased Stellar Microelectronics in 2012. In June, the firm was sold to Natel Engineering Company, now known as NEO Tech, in Chatsworth.
Steve Heinzen, NEO Tech’s vice president of marketing, declined to confirm or deny that Stellar Microelectronics will be moving to Chatsworth.
“Stellar Microelectronics will continue to be an active part of our business,” he said.
NEO Tech is a provider of manufacturing and supply chain technology.
According to a source inside the company, Stellar Microelectronics will be moving to the NEO Tech Chatsworth location in 2017. The company has 140 -150 employees at the site and the company plans to move them to the new location.
The asking price for 28454 Livingston Ave. sublet is 65 cents per square foot – the tenant is responsible for paying all operating expenses associated with a property.