Australian auto parts maker Don Kyatt opened its first-ever U.S. location by leasing a space topping 19,000 square feet in Stockton, California, marking a significant milestone for the local industrial market.
Don Kyatt is known as a key supplier of suspension components for Toyota. Regional brokers said the lease strengthens Stockton's position in the larger U.S. automotive supply chain and also enhances the overall regional manufacturing ecosystem, bringing opportunities to attract other companies that serve the auto industry and related sectors.
For its high-profile tenant and the potential to generate similar leasing by other firms in the Stockton area, this was selected by a panel of regional real estate experts to receive a CoStar Impact Award for lease of the year in Stockton/Modesto.
About the lease: Don Kyatt signed a five-year lease for 19,400 square feet at 2540 Station Drive in Stockton. The industrial property is owned by VTJ & B Partners of West Sacramento, California.
What the judges said: "This lease by a well-established, international auto parts manufacturing company represents a momentous investment in the Central Valley," said Victor Adjei, director of asset management for investment firm Graceada Partners in Modesto. "The fact that Stockton marks the company's first foothold in North America indicates strong desirability for the region's logistical presence."
Robert Kimball, an economic development marketing specialist with the Modesto Economic Development Committee, said the lease represents a significant addition to the regional industrial ecosystem, along with "international recognition and new jobs added."
They made it happen: Jake Cardinale, Lee & Associates.