American Apparel Expands Manufacturing Base in O.C.
American Apparel LLC is growing its newly acquired manufacturing operations in Orange County, Calif.
The Los Angeles–based apparel manufacturer recently acquired a 38,000-square-foot factory in Garden Grove, Calif., which is next to the same complex where it maintains a 32,000-square-foot dye house along other property that houses boilers and finishing equipment, now totaling 135,000 square feet. Company officials recently signed 10-year leases for both facilities, according to Voit Commercial Brokerage of Anaheim, Calif.
The addition will give American Apparel a more well-rounded operation in Orange County, with dyeing and knitting taking place on the same grounds. Last May, it paid $3.8 million to acquire a dye house and finishing factory in Garden Grove from its former contractor, U.S. Dyeing & Finishing. As part of the deal, American Apparel hired all of U.S. Dyeing’s 140 employees.
Voit broker Mike Bouma, who represented landlord Kilroy Realty Corp. in the transaction, said American Apparel intends to use the new facility, located on Pala Drive, as a fabric-knitting warehouse and distribution center. The company will install knitting machines in the facility, which is adjacent to the existing dye house.
“This [deal] is an exceptional accomplishment under the current economic conditions and speaks to the quality of Kilroy’s management as well as the solidity of American Apparel,” Bouma said. —Robert McAllister
