EXCLUSIVE: Arden Realty to Sell 5 MSF of SoCal Office Space
- Feb 06, 2008
Robert Peddicord (pictured), COO of Arden Realty, Inc., said in an exclusive interview on Wednesday that the firm intends to sell approximately 5 million square feet of its Southern California office portfolio. Target date for the completion of the transactions will be by the end of the first quarter of this year. Of the approximately 5 million square feet of office space, 3.7 million square feet is in Los Angeles County and the immediate vicinity; 235,000 square feet is in Orange County; and approximately 1 million square feet is in San Diego County.“From day one when GE acquired us, we were to be their operating platform, and their buy and sell platform, on the West Coast,” Peddicord said.”Peddicord said Arden will continue to look for buying opportunities in Southern California “when the time is right,” and said the firm will continue to also look for opportunities in Northern California, Seattle, Phoenix, and Portland.He said the completion date for the sale is a “target, not a mandate. If the pricing is not there, we will re-evaluate.”Asked why the portfolio is hitting the market at a time of capital markets turmoil, he called this an “interesting time.” “There are issues with the capital markets,” Peddicord said. “But there is not a lot on the market. And the Southern California market is one of the strongest markets to be in.” These assets being marketed were all part of Arden when GE Real Estate acquired the firm in late 2005 for approximately $4.8 billion.