ORANGE, CALIF. — HFF has arranged the sale of a 468,000-square-foot retail portion of The Village at Orange, an 850,000-square-foot retail center located at 1500 E. Village Way in Orange. An undisclosed institutional investor acquired the property, excluding Sears and JCPenney, from an institutional seller for $84.5 million. The property was 92 percent occupied at the time to sale to a variety of tenants, including Walmart, Trader Joe’s, Sprouts Farmers Market, Ross Dress for Less, Ulta, Home Goods, Party City and PetSmart. The property is currently undergoing renovations that will convert portions of the indoor regional mall into an open-air retail space. Bryan Ley, Gleb Lvovich and CJ Osbrink of HFF represented the seller in the transaction.
SALINAS, CALIF. — Pacific Castle has acquired Prune Tree Shopping Center in Salinas from JG Management for $20 million. Located at 17601 Vierra Canyon Road, the 131,000-square-foot property is occupied by Safeway, CVS/pharmacy, McDonald’s, Taco Bell, Starbucks Coffee and AutoZone. Pacific Castle financed the acquisition through a 1031 exchange with existing capital partners. Bryan Ley of HFF represented the undisclosed seller in transaction.
SEATTLE — Kevin Johnson, president and chief operating officer of Starbucks Corp. and a seven-year member of the Starbucks board of directors, will assume the role and responsibilities of president and chief executive officer, effective April 3, 2017. Also effective April 3, 2017, Howard Schultz, chairman and CEO, will be appointed executive chairman and will shift his focus to innovation, design and development of Starbucks Reserve Roasteries around the world, expansion of the Starbucks Reserve retail store format and the company’s social impact initiatives. In this new role Schultz will continue to serve as chairman of the board. As president and chief operating officer since March 2015, Johnson has led the company’s global operating businesses across all geographies as well as the core support functions of Starbucks supply chain, marketing, human resources, technology, and mobile and digital platforms. Johnson has been a Starbucks board member since 2009, and will continue to serve as a member of the Starbucks board of directors. Johnson’s career spans 33 years in the technology industry, which included a 16-year career at Microsoft and a 5-year tour as CEO of Juniper Networks. Founed in 1971, Starbucks Coffee Co. has more than 25,000 stores around the globe.
LOS ANGELES — Meridian Capital Group, on behalf of Decron Properties, has arranged a $10 million loan for Playa Lincoln, a shopping center located at 8701 Lincoln Blvd. in Los Angeles. The grocery-anchored center features 73,000 square feet of retail space. Additionally, Meridian secured an $88 million loan for Playa Del Oro II, a multifamily property located at 7280 W. Manchester Ave. in Los Angeles. The asset features 260 apartment units and 5,000 square feet of retail space. The 10-year loans, provided by a life insurance company, feature five years of interest-only payments. Seth Grossman and Sarah Kuebler of Meridian Capital Group arranged the financing for the borrower.
VAIL, COLO. — CBRE Hotels has arranged the sale of the Four Seasons Resort and Residences in Vail for $121 million. The 134-room resort is located at 1 Vail Road, and includes 121 hotel guestrooms and 13 condominiums. The resort offers slope-side ski-valet facilities located adjacent to Gondola One in Vail Village. Additional amenities include a 14,935-square-foot spa, over 7,000 square feet of flexible meeting and event space, dining and retail space. Bernard Van der Lande of CBRE Capital Advisors, along with Mark Darrington and Larry Kaplan of CBRE Hotels, represented the seller, Barclays. Barclays acquired the property out of bankruptcy when it was under construction in 2009. New York City-based Extell Development Co. was the buyer. — Kristin Hiller
SALT LAKE CITY, DENVER AND PHOENIX — HFF has secured $294.6 million in financing for five industrial portfolios. The light industrial portfolios contain 59 properties in five states, including Utah, Colorado and Arizona. The portfolio features a total of 69 buildings encompassing more than 8 million square feet throughout Salt Lake City, Denver, Phoenix, Atlanta and Dallas. The transaction includes three 15-year, fixed-rate loans that were placed with Great-West Life & Annuity Insurance Co. and two 15-year, fixed-rate loans that were placed with Voya Investment Management. The proceeds will be used to refinance existing debt. HFF’s Joe B. Thornton Jr., John Rose, Jeremy Womack, Josh Simon and Gregg Shapiro worked on behalf of the borrower.
BOTHELL, WASH. — NorthMarq Capital has arranged $93 million in financing for the acquisition of the 524-unit Bridges at Northcreek apartments in Bothell. The Class A community is located at 20225 Bothell Everett Highway, just north of Bellevue. Bridges at Northcreek was built in 1999. The property is situated near more than 500 restaurants and shops, Woodinville wine country, golf courses, parks and more. The 10-year, full-term, interest-only loan has significant prepayment flexibility in its last several years. NorthMarq arranged financing for the borrower, one of NorthMarq’s long-term clients, through the firm’s Fannie Mae program. David Link and Brian Fisher led the team on this transaction.
SAN FRANCISCO — Merck has announced its new 294,000-square-foot West Coast research facility will be built in South San Francisco’s innovation cluster. The nine-story laboratory/office campus will be located at 213 E. Grand Ave. The site is fully entitled, with construction expected to commence in early 2017. Merck is scheduled to occupy the building in early 2019. The facility is targeting LEED-Platinum certification. Merck signed a long-term, full-building lease at the facility, which Alexandria Real Estate Equities will develop, construct and operate. The biopharmaceutical company is a current tenant of Alexandria. The campus will feature open green outdoor spaces, a 300-seat auditorium, fitness center, and café and terrace with waterfront views.
LOS ALAMITOS, CALIF. — A joint venture between Lincoln Property Co. and Long Wharf Real Estate Partners LLC is set to begin construction of Village 605, a 113,880-square-foot shopping center located roughly 23 miles outside Los Angeles in Los Alamitos. The open-air center will consist of seven one-story buildings. 365 by Whole Foods Market will anchor the property. The development will also feature a large community gathering area, outdoor seating and landscaped walkways. Construction is expected to begin in early 2017 with an anticipated opening set for early 2018. The project architect is KTGY Group Inc., and Strategic Retail Advisors is handling leasing.
LAGUNA BEACH, CALIF. — Marcus & Millichap has arranged the $19.7 million sale of a 34,478-square-foot Gelson’s Market located along the Pacific Coast Highway in Laguna Beach. Glen Kunofsky and Lior Regenstreif of Marcus & Millichap brokered the transaction. Both the buyer and seller of the property were undisclosed.