WESTLAKE VILLAGE, CALIF. — Musical instrument retailer Guitar Center has filed for Chapter 11 bankruptcy protection with the U.S. Bankruptcy Court for the Eastern District of Virginia. The Westlake Village-based company did not announce plans to close any of its 297 stores, but it has retained A&G Real Estate Partners to explore opportunities for its real estate portfolio. In court filings, Guitar Center cited its business of instrument purchases, rentals, repairs and music lessons suffered amid the upheaval stemming from government-mandated shutdowns in response to the COVID-19 pandemic, according to The New York Times. Approximately 75 percent of its stores were shuttered at one point in the spring. Additionally, the company cited its “significant debt burden” in the court filings. In addition to Guitar Center stores, the company operates four sister brands: Music & Arts, Musician’s Friend, Woodwind & Brasswind and AVDG. Music & Arts, a Maryland-based chain that Guitar Center acquired in 2005, operates 200 stores and 300 affiliate locations that provide band and orchestra instruments and equipment for sale or rentals. Musician’s Friend, which Guitar Center acquired in 1999, is a direct marketer of musical instruments. Likewise Woodwind & Brasswind is a catalogue musical instrument merchant with a …
TEMECULA, CALIF. — MCA Realty has completed the disposition of Diaz Commerce Center, an industrial facility located at 27711 Diaz Road in Temecula. A local investor acquired the asset for $14 million. The two-building property features 131,577 square feet of multi-tenant industrial space. MCA Realty initially acquired the asset in September 2018 for $10 million. During ownership, MCA implemented an upgrade program including the addition of LED lighting, updated asphalt, increased parking and expanded the fenced yard space. Scott Stewart of Lee & Associates represented the seller, while Barret Woods, also of Lee & Associates, represented the buyer in the deal.
LOS ANGELES — Los Angeles-based Janone Development has received $16.6 million in construction financing for the development of a six-story multifamily property in Los Angeles’ Koreatown. Parkview Financial provided the $16.6 million loan. Located at 1100-1110 S. Hobart Blvd., the 39-unit project will include a one-bedroom unit, 19 two-bedroom units and 19 three-bedroom units, with floor plans averaging 1,194 square feet. All residences will feature balconies and a full appliance package, including in-unit washers/dryers. Five units are slated for low-income tenancy. Additionally, the community will feature a courtyard and two levels of parking with 80 spaces and a 39-space bike rack. Construction is underway at the fully entitled infill site, with completion slated for August 2022.
SAN DIEGO — The Southern California division of Trammell Crow Residential (TCR) has started construction of Simone, a 36-story apartment project located at 1401 Union St. in San Diego’s Little Italy neighborhood. The project is a joint venture between TCR, Pacific Life Insurance and AAA Management. The high-rise will feature 358 market-rate apartments, five penthouses, 32 subsidized apartments for low-income residents, 32,000 square feet of resort-style amenity space and parking. Designed for LEED Gold certification, the 612,000-square-foot community is slated for completion in 2023. The 30-story residential tower will sit atop a six-story podium with three levels of underground parking and four levels of above-ground parking. Apartments will range from 577-square-foot studios to 1,097-square-foot two-bedroom units, as well as five 1,500-square-foot penthouses on the 35th and 36th floors. Interior unit amenities include gourmet kitchens, stainless steel appliances, hard-surface flooring, walk-in closets and all-tile bathrooms. Amenities will include a rooftop pool, spa and entertainment space; a Sky Club with panoramic city views, gourmet demonstration kitchen and indoor-outdoor lounges and dining spaces; a 4,000-square-foot indoor-outdoor fitness center; a 10,000-square-foot outdoor lounge with a movie project screen; dog park, pet lounge and spa; Amazon lockers; a bike repair shop with storage; and a …
WHITTIER AND SYLMAR, CALIF. — Rexford Industrial Realty has acquired two industrial assets in Southern California for a total consideration of $339.2 million. The acquisitions were funded using a combination of cash on hand, 1031 exchange proceeds from prior dispositions, assumption of existing debt and operating partnership units. The sellers in both cases were not disclosed. The company purchased Gateway Pointe Industrial Campus, a four-building complex located at 3963, 3931, 3735 and 3629 Workman Mill Road in Whittier for $296.6 million, or $300 per square foot. The 45.1-acre asset features four Class A industrial buildings totaling 989,195 square feet of space. The fully occupied complex features 32-foot clear heights at first bay, extensive dock-high loading, excess container parking and access to major transportation corridors. Additionally, Rexford acquired 13943-13955 Balboa Boulevard in Sylmar for $42.6 million, or $212 per square foot. Totaling 200,632 square feet, the property is fully occupied by three tenants.
FULLERTON, CALIF. — Calbay Development has completed the disposition of a single-tenant restaurant building located at 1101 S. Harbor Blvd. in Fullerton. A Los Angeles-based high-net-worth buyer acquired the property for $6.2 million, or $2,067 per square foot. Constructed in 2020, the 3,000-square-foot property has a fully entitled drive-thru. Starbucks Coffee occupies the building and recently signed a 20-year, absolute, triple-net ground lease with no termination rights for the asset. Adam Friedlander of JLL Retail Capital Markets represented the seller in the deal.
SAN DIEGO AND BOSTON — Life sciences real estate development firm IQHQ Inc. has completed a $1.7 billion equity raise. The company — which completed an initial equity raise of $770 million earlier this year — plans to use the combined funds to build 4.4 million square feet of projects that are currently in its development pipeline. The company has offices in San Diego and Boston, both hubs for life sciences companies. The demand for life sciences real estate continues to increase as the need for vaccines, therapeutics and diagnostics intensifies amid the COVID-19 pandemic, according to an October report by CBRE. Plymouth Meeting, Pa.-based CenterSquare Investment Management invested $158 million in IQHQ’s latest funding round, alongside a group of undisclosed new and existing strategic partners. Madison International Realty, a real estate private equity firm, invested $100 million with an option to invest an incremental $100 million in IQHQ. IQHQ’s current projects include sites in Boston, San Francisco and San Diego. The company announced plans to develop the San Diego Research and Development District (RaDD), a $1.5 billion life science campus located along San Diego’s waterfront, in September. The RaDD will span eight acres and three city blocks, making it …
SAN JOSE, CALIF. — Cupertino, Calif.-based Hunter Properties has completed the sale of Phase I of Coleman Highline, a 1.75 million-square-foot, mixed-use campus in San Jose. The transaction included two office buildings totaling 360,000 square feet and fully leased to Roku, an amenities building and parking structure. Upon full build out, the Coleman Highline will total eight office buildings, a 175-room hotel and 115,000 square feet of amenity and retail space.
VISTA, CALIF. — US Divers Co. has completed the disposition of an industrial property located at 2340 Cousteau Court in Vista. Elion ACQ acquired the asset for $22 million. Situated on 8.9 acres, the 134,299-square-foot building features 24,000 square feet of office space, heavy power, eight dock doors, four grade-level doors and 26-foot clear heights. The seller intends to leaseback the facility for one year before relocating to a new location. Rusty Williams, Chris Roth, Greg Pieratt and Jake Rubendall of Lee & Associates Commercial Real Estate Services – North San Diego County represented the seller and buyer in the transaction.
CARMICHAEL, CALIF. — Blue Sky has purchased a medical office property located at 6555 Coyle Ave. in Carmichael. A private investment group sold the asset for an undisclosed price. Situated on Mercy San Juan Medical Center campus, the building features 99,000 square feet of specialty medical office space. Dignity Health is a tenant at the property. Blue Sky acquires, builds, finances and operates facilities for and on behalf of mission-based organizations to deliver optimate cost savings and solutions. Bill Swettenham and Eric Ortiz of The Swettenham Ortiz Healthcare Team at Colliers International represented the buyer in the deal.