LOS ANGELES — Pacific Eagle has purchased the 68-unit Villa Malibu luxury apartments for $62 million. The community is located at 6487 Cavalleri Road in the Los Angeles submarket of Malibu. Villa Malibu was originally built in 1993 and renovated in 2007. It currently operates as a rental property, though the community is entitled for residential condominiums. The seller was the Carlyle Group. Bob Safai, Darin Beebower, Brad Schlaak and Matt Case of Madison Partners executed the transaction.
HAWTHORNE, CALIF. — HFF has arranged $57 million in senior financing for Century Business Center, a 1.4-million-square-foot industrial manufacturing facility in Hawthorne. The center is located at 3901 Jack Northrop Ave. The seven-building campus is fully leased to Triumph Aviation Group and SpaceX. Triumph produces fuselages for Boeing’s 747 passenger and freighter commercial jets, while SpaceX is the largest private space transport company in the world. HFF’s Paul Brindley, Anthony Brent and Ryan Martin arranged the 10-year, fixed-rate loan on behalf of Zelman Development Co. It was placed with AIG Investments. The proceeds were used to recapitalize the property.
LOS ANGELES — Chatham Lodging Trust has purchased the 134-room Hilton Garden Inn Marina del Rey for $44.5 million. The hotel is located at 4200 Admiralty Way in the Los Angeles submarket of Marina del Rey. The property was converted from an independent hotel in June 2013 after an extensive renovation. The new owner says it will not need to make a major capital investment until 2020. The hotel includes the Marina Bar & Grill; two meeting venues and rooms; suites and loft-style casitas with private patios; and an underground parking garage that serves hotel guests and local visitors. Chatham funded the purchase through the assumption of a $22.6 million loan that carries an interest rate of 4.68 percent and matures in July 2024. The balance was financed with available cash and borrowings on the company’s revolving credit facility. The hotel is subject to a long-term ground lease that matures in December 2067. Island Hospitality Management will manage the hotel.
UPLAND, CALIF. — Marcus & Millichap has arranged the $7.3 million sale of Junction Route 66 Plaza, an 18,297-square-foot shopping center located in Upland. Josh Rey, Pablo Rodriguez and Richard Vincent of Marcus & Millichap worked on behalf of the seller, a personal trust, and Edward Kim of Realtyland Co. Inc. secured the undisclosed buyer in the transaction. Tenants at the center include Jiffy Lube, Popeye’s Chicken and Carl’s Jr., occupying the outparcel.
ORANGE, CALIF. — Wohl Orange Circle LLC has acquired an 8,000-square-foot shopping center, located at 117 E. Chapman Ave. in Orange, for an undisclosed price. The seller was Parke Family Trust. Scott Hook of Coldwell Banker Commercial Alliance represented the buyer in the transaction.
COSTA MESA, CALIF. — Wohl 124 CM LLC has acquired a retail property located at 124 E. 17th St. in Costa Mesa. A private trust sold the property for an undisclosed price. The 2,340-square-foot property is situated on an 8,760-square-foot parcel. Scott Hood of Coldwell Banker Commercial Alliance handled the transaction.
SAN DIEGO — Holliday Fenoglio Fowler (HFF) has arranged a $7.25 million refinancing for the majority of the Schiefer & Sons Building in downtown San Diego. Bank of America provided the 10-year, fixed-rate loan. The loan proceeds will be used to refinance existing debt. The property features 15,221 square feet of office and retail space. Located at 815 J St., the building is divided into six office units and two ground-level retail spaces. Kevin MacKenzie and Greg Brown of HFF secured the financing for the borrower, Capital Real Estate Ventures Inc.
HANFORD, CALIF. — Little Caesars Pizza inked a deal for 1,150 square feet of retail space at 2597 N. 11th Ave., Suite 102, in Hanford. The landlord is Blackheart Capital LLC. John Lee and Michael Kennedy of Retail California, along with Tailwind Commercial, brokered the transaction.
OAKHURST, CALIF. — The Body Pistache has leased 3,400 square feet of retail space at 40034 Highway 49, Suite A-9 in Oakhurst. The space is located just north of Fresno. The landlord is 41/49 Highway Junction LP. Lee of Retail California, along with Shaw Real Estate, brokered the deal.
The San Diego retail market had another positive quarter, which built on the strength of the local economy. Strong job growth and low unemployment led to positive net absorption and a spike in sales activities. The unemployment rate decreased across the board. San Diego posted a 4.9 percent rate, a post-recession low for overall unemployment. This is the first time San Diego unemployment has been sub-5 percent since the beginning of 2008. Local San Diego retail employment has been steadily increasing by 2.4 percent over the past five years, according to CBRE Econometric Advisors. Annual growth for the next five years, however, is expected to be relatively flat. Despite the lack of space, there have been a few construction deliveries. Most of the current retail construction in San Diego is from mixed-use development and property renovations. Westfield plans to spend $500 million to expand its center at UTC. It will also spend $300 million in Carlsbad where it plans intends to transform an indoor mall into an open-air center. Regional malls are leading the trend, and smaller centers like Flower Hill Promenade and Del Mar Heights Town Center are keeping up with them. One of the most significant signings this …
