LOS ANGELES — Western Studio Services has completed the disposition of its creative office and industrial campus at 4561 Colorado Blvd. in Los Angeles. A joint venture between Captiva Partners, Avalon Investment Co. and a private investor acquired the asset for an undisclosed price. The front 146,000-square-foot building has a mid-century modern design with two-story offices, ample warehouse space and a third-level upper deck and community room. The rear 43,000-square-foot facility features an open, clear-span footprint with high ceiling clearance. The seller formerly occupied the property. Matt Dierckman, David Harding, Greg Geraci and Billy Walk of CBRE represented the buyer and seller in the deal.
SAN DIEGO — Cushman & Wakefield has arranged the sale of Morena Storage, a self-storage facility located in central San Diego’s Morena District. Sherman Street Ventures, the original developer of the property, sold the asset to Invesco Real Estate, in partnership with Baranof Holdings, for an undisclosed price. The buyers plan to maintain the property’s name, Morena Storage. Located adjacent to interstates 5 and 8, the 108,700-square-foot Morena Storage features 1,640 self-storage units. At the time of sale, the property was 90 percent occupied. Greg Wells of Cushman & Wakefield’s Self Storage Advisory Group, along with Bryce Aberg, Zachary Harman and Brant Aberg of the firm’s Industrial/Capital Markets Group, represented the seller in the deal.
TEMPLE CITY, CALIF. — Coldwell Banker Commercial has arranged the sale of a development site located at 5570 Rosemead Blvd. in Temple City. An undisclosed buyer acquired the site for $14.4 million. The buyer plans to redevelop the 1.4-acre land parcel into a mixed-use community with 73 residential units and 15,000 square feet of ground-floor retail space. The four-story building will offer units ranging from 732 square feet to 1,251 square feet, with three live-work units and lofts on the top floors. A 12,000-square-foot building, which was formerly used as the Learning Center, currently occupies the site. Steve Hayashi of Coldwell Banker Commercial George Realty represented the undisclosed seller in the deal.
LOS ANGELES — Hankey Investment Co. and Jamison Properties have completed vertical construction of Kurve on Wilshire, a 23-story residential tower located at 2900 Wilshire Blvd. in Los Angeles’ Koreatown neighborhood. Scheduled to open in spring 2021, Kurve on Wilshire will feature 644 apartments atop a six-story podium housing the building’s 1,100-vehicle parking garage, as well as a one-acre park and amenity deck. Apartments will range from studios to two-story, three-bedroom penthouses with a private sky yard and spa. Rents are expected to start around $2,200 per month. Common-area amenities will include a fitness center, clubhouse, pool, spa, business center, private open-air dining areas, barbecues, fire pits, dog park, Zen garden and viewing deck of the downtown Los Angeles skyline. The $300 million development will also feature 15,000 square feet of street-level retail space catering to residents, locals and Koreatown visitors. The project team includes Large Architecture, Dianna Wong Architecture + Interior Design, and AECOM and Wilshire Construction as a joint venture construction team.
WEST SACRAMENTO, CALIF., AND SALT LAKE CITY — A joint venture between PCCP and The Koll Co. has purchased an eight-building industrial portfolio in West Sacramento and Salt Lake City. A private family trust sold the portfolio for $41.3 million. Totaling 510,7070 square feet, the assets were fully leased at the time of sale. The three California properties, totaling 226,000 square feet, are located within the Port of Sacramento Industrial Park. Built in 1987, the buildings feature 22- to 26-foot clear heights, dock-high doors, grade-level doors, wet sprinklers, reinforced concrete loading areas and ample parking. The remaining five properties, totaling 214,000 square feet, are located within Centennial Industrial Park in Salt Lake City. The buildings feature 24- to 27-foot clear heights, dock-high doors and grade-level doors. Bret Hardy and Kevin Shannon of Newmark Knight Frank represented the seller, while David Milestone of Newmark Knight Frank sourced acquisition debt from California Bank & Trust for the buyer.
CERRITOS, CALIF. — Nome Ventures, a Bay Area-based real estate investment firm, has acquired Cerritos Center Court, a Class A office building in Cerritos, for an undisclosed price. Located at 17777 Center Court Drive within the 125-acre master-planned Cerritos Central Business District, the eight-story building features 170,977 square feet of office space. At the time of sale, the property was 98 percent leased. Built in 2002, a 2018 renovation fully upgraded the lobbies, corridors, restrooms, electric vehicle charging stations and 680 parking spaces. The transaction is a leasehold sale as the building sits on a long-term ground lease owned by the City of Cerritos with more than 66 years remaining on the term. Todd Tydlaska, Sean Sullivan, Mike Longo, Anthony DeLorenzo and Mark Shaffer of CBRE represented the seller, an undisclosed institutional investor, while Nome Ventures was self-represented in the deal. Greg Grant of CBRE’s Debt & Structured Finance team secured a $26.7 million loan on behalf of the buyer.
LA VERNE, CALIF. — Berkadia has has arranged $8 million preferred equity investment for Silver Star Real Estate’s purchase of Amber Ridge Apartments, a garden-style multifamily property located in La Verne, 30 miles east of Los Angeles. Orange County, Calif.-based Silver Star Real Estate acquired the property through its affiliated purchasing entity, Amber Property Investments, for $49.7 million, or $338,000 per unit. Chinmay Bhatt, Noam Franklin and Cody Kirkpatrick of Berkadia’s Joint Venture Equity and Structured Capital Group delivered Harbor Group International as the preferred equity partner. Built in 1973 and renovated in 2006, Amber Ridge features 147 units spread across 25 two-story residential buildings. On-site amenities include a swimming pool with spa; clubhouse with full kitchen and fireplace; business center; outdoor picnic area with barbecue; pet grooming salon; and fitness center.
OCEANSIDE, CALIF. — Duhs Commercial has arranged the sales of two retail buildings located in Oceanside for a total of $8 million. In the first transaction, an undisclosed buyer acquired a 3,000-square-foot retail space at 1888 Oceanside Blvd. for $2.6 million. Austin Dias and Rick Wu of Duhs Commercial represented the buyer in the acquisition and lease to 7-Eleven, while Henry Lee of Autowash Brokers represented the undisclosed seller in the deal. Andrew Pierson of Cushman & Wakefield represented the tenant in the lease transaction. In the second deal, Dias and Wu arranged the $5.4 million sale of a 2,450-square-foot retail space at 1990 Oceanside Blvd. Henry Lee of Autowash Brokers represented the undisclosed lessee of the property.
By Chandler A. Larsen, Principal, Avison Young This year started off where 2019 finished for the Los Angeles office property sector – and that’s red hot! During the first two and a half months of the year, office space absorption was on pace to beat 2019. Rents were steadily increasing past $39.84 per square foot on an annual gross basis, record-high (psf) sales prices were recorded across product types and rising construction costs were complemented by a construction pipeline of more than 8 million square feet of office space. Suddenly, by mid-March, COVID-19 had taken hold in the U.S. and abruptly halted all the momentum the Los Angeles office sector had built up. However, the emergency interest rate cuts proposed by central banks across the globe have flooded markets with liquidity, helping to avoid contagion throughout the financial sector. This, in conjunction with the $170 billion in commercial investor relief included in the current stimulus package, points to the potential for a short downturn. Nevertheless, the jury is still out on just how long and how deep this slowdown will be as previously unimaginable unemployment numbers continue to be reported and economic forecasts are trending in the wrong direction. In …
RANCHO BERNARDO, CALIF. — Ryan Cos. has completed construction of Silvergate Rancho Bernardo, an 11-acre seniors housing campus in Rancho Bernardo, approximately 25 miles north of San Diego. AmeriCare Health & Retirement developed the community, which Ryan Cos. built. The development features of 20 cottages, 108 apartments, six penthouse units and 48 memory care units, and was 90 percent pre-leased. The apartments range from 400 square feet to 1,200 square feet, while the cottages run between 1,400 square feet and 1,600 square feet. Silvergate Rancho Bernardo is AmeriCare’s third development of its kind and is considered the company’s flagship community. Warner Design Associates handled interior design.