Beverly Hills Medical Building Goes for $55M

The $55 million sale of a medical facility at 120 S. Spalding Dr. in Beverly Hills, Calif., has closed, according to Madison Partners Principal Bob Safai. The firm arranged the funding. The four-story, 63,000-square-foot building went for $869 per square foot. That price is a record for a Los Angeles medical office property. There is below a 1 percent vacancy rate for medical office space on the Westside of Los Angeles, and rents can be 20 percent higher than rates for other types of office space, according to the statement. As a result, rents in the building have been raised to $6.25 per square foot per month from the previous range of $3.75 to $4.50. Mr. Safai represented the seller, Beverly Hills-based Cambra Realty and New York investment advisor Angelo Gordon & Co. The buyer, the LeFrak Organization, represented itself. The LeFrak organization has recently begun acquiring properties in the West Los Angeles market, including an office property located at 9701 Wilshire Blvd. in Beverly Hills, a block away from the Spalding medical building.