SEATTLE — Gantry has secured a total of $34.3 million of loans to refinance four Seattle-area assets owned by different and unaffiliated entities. Each transaction was placed with one of Gantry’s life company correspondent lenders and each structure provided the borrowers with non-recourse, fixed-rate loans. Mike Wood of Gantry represented three of the borrowers. The financings included:
OCEANSIDE, CALIF. — Marcus & Millichap has arranged the sale of 1210 South Nevada Street, an apartment property in Oceanside. Matt Vessell sold the asset to Matt Pace for $3.3 million. The apartment building features eight two-bedroom/one-bath units and three one bedroom/one-bath units. Community amenities include 11 single-car garages and 12 offsite parking spaces. Adrian Grobelny and Conor Brennan of Marcus & Millichap’s San Diego Del Mar office represented the seller and procured the buyer in the deal.
LOS ANGELES — Southern California Gas Co. (SoCalGas) has signed a long-term lease for 198,553 square feet of office space at City National 2CAL in downtown Los Angeles. CIM Group owns the 1.4 million-square-foot, 52-story office building at 350 S. Grand Ave. in downtown’s Bunker Hill district. SoCalGas will relocate to City National 2CAL from its namesake downtown Los Angeles building, Gas Company Tower, where it has been located since the building’s opening in 1991. At its new space, SoCalGas will have project and building top signage at the property. Geno St. John from CIM Group’s in-house office leasing team, in partnership with Peter Hajimihalis and Hayley Blockley of JLL, represented the owner in the lease negotiations. Clay Hammerstein and Danny Rees of CBRE represented the tenant.
SANTA FE, N.M. — A joint venture between Presidium and Argosy Real Estate Partners has opened Presidium Casa Siena, a 160,000-square-foot multifamily property at 5750 Airport Road in Santa Fe. The community features 171 studio, one- and two-bedroom apartments, ranging from 565 square feet to 1,201 square feet, with energy-efficient stainless steel appliances, walk-in showers, garden tubs and upscale finishes. Residences will also offer full-size washers/dryers, under-cabinet lighting, keyless entry doors and built-in USB ports. Community amenities include a club room with coworking and conference spaces; a fitness center; exhibition kitchen and game rooms; a heated, resort-style pool surrounded by grilling and kitchen spaces and two cave lounges within private courtyards; a private dog park with pet spa; mail and package pickup rooms; surface-level parking; electric-vehicle charging stations and carports. The project team includes Humphreys & Partners, Isaacson & Arfman and Pavilion Construction. This is the first joint venture between Presidium and Argosy Real Estate Partners.
CHULA VISTA, CALIF. — Walker & Dunlop has arranged $66 million for the refinancing of Boardwalk at Millenia, a multifamily property in Chula Vista. Aaron Appel, Jonathan Schwartz, Keith Kurland, Adam Schwartz, Mo Beler, Michael Ianno and William Herring of Walker & Dunlop’s New York Capital Markets team arranged the transaction on behalf of the borrower, Barings Core Property Fund. The team also identified the lender, Kohlberg Kravis Roberts & Co. LP. Located at 1660 Metro Ave., Boardwalk at Millenia offers 309 apartments, a resort-style pool and spa, outdoor fireplaces and lounges, upscale fitness studio, children’s play area and coworking spaces with private conference rooms. The property was built in 2018. In 2019, Barings purchased the property from Trammell Crow Residential and recently secured the new financing, a five-year, floating-rate loan, to refinance the previous loan.
BOUNTIFUL, UTAH — EBSC Lending has arranged the closing of a $14.5 million loan to refinance an assisted living and memory care community in Bountiful, a suburban community between Salt Lake City and Ogden, Utah. The undisclosed sponsor acquired the facility in 2019 and has expanded the property’s memory care capacity to capture more of the market demand for high-quality memory care and increased the allowable density by obtaining a zoning amendment allowing up to 73 beds. The sponsor increased occupancy, improved operations and hired a new management company to oversee the property. Additional amenities offered at the property include personalized care, healthcare coordination, chef-prepared meals, housekeeping and secure courtyards.
SAN DIEGO — MIG has completed the disposition of Four Governor Park, a two-building office property in San Diego. Cast Capital Partners acquired the asset for $11 million. Situated on 2.7 acres, Four Governor Park includes a 21,715-square-foot building at 5080 Shoreham Place and a 28,521-square-foot building at 5090 Shoreham Place that are connect by a courtyard. At the time of sale, the property was 96 percent occupied by a mix of office tenants. The buyer plans to sell the individual units. Matt Pourcho, Anthony DeLorenzo and Matt Harris of CBRE represented the seller, while Bret Morris of Cast Capital Partners and Ryan King of Voit represented the buyer in the transaction.
— By David Nelson, regional president of brokerage for Northern California and Nevada, Kidder Mathews — After record figures across most U.S. industrial markets in 2021 and 2022, key fundamentals cooled in 2023 and have been recalibrating ever since. Total net absorption has been negative in recent quarters, sublease space is on the rise, vacancy and availability rates have been steadily inching up, and average asking lease rates are relatively flat. Furthermore, the recent surge in development activity due to the rise in ecommerce penetration has been slowly drying up with construction starts dropping by more than 60 percent in 2023 and 2024. Core industrial markets in the Bay Area experienced notable increases in both vacancy and availability. Silicon Valley vacancy rose from between 1.5 percent and 2.5 percent last year to 3 percent and 4 percent in 2024. Meanwhile, East Bay rose from 3.5 percent and 4 percent in 2023 to 5.5 percent and 6.5 percent in second-quarter 2024. During the first half of the year, an increase in sublease space has been a major contributor to the higher rates. They have increased from the pre-COVID average of 9 percent of total available space to 19 percent at the end …
PHOENIX — Clarion Partners has completed the sale of Desert Club, an apartment community in Phoenix, to Weidner Apartment Homes for $187.5 million, or $377,264 per unit. Built in 2004 on 21 acres, Desert Club features 497 apartments averaging 983 square feet in size. Units feature open-concept floor plans, 9-foot ceilings and arched entryways. Community amenities include a heated, resort-style swimming pool and spa. Steve Gebing and Cliff David of Institutional Property Advisors (IPA), a division of Marcus & Millichap, represented the seller and procured the buyer in the deal.
DENVER — Hercules Industries has acquired a 100,175-square-foot industrial property located within Stapleton Business Center in Denver from Anchorage-based Pacific Acquisitions for an undisclosed price. Situated on 5 acres at 4690 Florence St., the property features 84,000 square feet of 30-foot clear warehouse space, 16,000 square feet of office space and ESFR sprinklers, as well as functional loading and parking. The locally based manufacturer and distributor of HVAC products will use the Class A asset to support operations for a new business line. Mike Wafer Jr. and Mike Wafer of Newmark represented the buyer in the deal, while Jim Bolt of CBRE represented the seller.
