4000 MacArthur Office Project in Newport Beach Trades Hands
- Feb 23, 2015
A large office asset in Newport Beach was recently acquired by Hines for an undisclosed amount. The buyer worked with a subsidiary of a fund managed by Oaktree Capital Management L.P. in the acquisition of 4000 MacArthur, a large office asset located in the Airport Area submarket. As a result of the transaction, Hines will take over management duties on behalf of the joint venture.
4000 MacArthur is located at the intersection of MacArthur Boulevard and Jamboree Road within Koll Center Newport, and it comprises two office buildings, each standing ten stories tall. The Class A office project totals 375,000 square feet in a location that provides easy access to nearby John Wayne Airport, as well as the SR-73 and I-405 Freeway. The property recently received a set of new improvements such as: a new curtainwall façade, two fully renovated main lobbies, new restrooms, new corridors, new individual elevator lobbies, new parking and landscaping and new multiple outdoor seating areas, as well as a new on-site café.
The asset’s current tenant roster occupies roughly 91 percent of the available office space. Twelve tenants are under contract at 4000 MacArthur with names such as Hyundai Capital America, M/A-COM Technology Solutions Holdings, Lifescript, and Premium Office Centers. According to Hines Managing Director Ray Lawler, the property’s position and current shape should be a major draw with premier tenants. This acquisition is the Hines Orange County team’s eleventh project, bringing the company portfolio in the area to around 2.8 million square feet of space. These projects have been vastly improved in terms of occupancy after becoming part of the Hines-Oaktree joint venture.