JV Buys 2 California Office Buildings for $37M
- May 17, 2018
A joint venture between Harbor Associates LLC and Bascom Group LLC has purchased two office buildings, totaling 114,000 square feet in Los Angeles and Del Mar, Calif. The two properties changed hands in separate transactions for a total of $37.4 million. The venture plans to invest an additional $500 million throughout the Western U.S. in the next two years. Earlier this year, Harbor also acquired two office campuses within the Los Angeles area.
Newmark Knight Frank brokered the sale of the 75,000-square-foot asset located at 4130 Cahuenga Blvd. in Los Angeles, for $21.7 million. JLL arranged the financing together with Ready Capital Structured Finance. The office is near major studios including NBC Universal, CBS, Warner Bros., The Walt Disney Co., Paramount Pictures and DreamWorks. Additionally, the office building is less than one mile from highways 101 and 134, as well as the Universal City/Studio City Metrolink station, which provides access to Hollywood and downtown Los Angeles.
The property in Del Mar changed hands for $15.7 million. Cushman & Wakefield represented the seller and was tapped to manage the leasing transactions on behalf of the buyer. HFF secured the financing in partnership with Ready Capital Structured Finance. The two-story building is located at 2010 Jimmy Durante Blvd., less than one mile from the beach and downtown Del Mar. San Diego is also situated approximately 22 miles from the property via Interstate 5.
The buyer plans to renovate both office buildings. The Los Angeles property will receive cosmetic upgrades to the exterior, lobby and communal areas. The second building will be rebranded as The Bungalows at Del Mar and the venture aims to add new paint scheme and the installation of bike and surfboard storage, as well as outdoor seating and collaboration areas. Tenant suites will feature operable windows and vaulted ceilings.
“This asset fits perfectly into our business model,” said Paul Miszkowicz, principal of Harbor Associates, in prepared remarks. “We’re confident we can transform this well-located and architecturally unique but tired asset into a modern Class A coastal creative office campus. Our vision is to make The Bungalows one of the most unique properties in coastal San Diego.”
Photos via Google Street View