This Week's LA Deal Sheet
After at least 40 tours given to interested buyers, the Pico Gateway Apartments (8525 W Pico Blvd) in the Pico-Robertson neighborhood just sold for $22.4M. Bisnow caught up with Colliers International EVP Kitty Wallace to talk about the deal for the “kosher-friendly” property.
Kitty (pictured here with her family at the Coliseum in Rome) repped both the buyer, LA investment firm Eretz Properties, and the seller, investment firm 8525 Pico LLC. Kitty tells Bisnow the seller originally built the multifamily property to keep and own, but it was put on sale when his partnership changed. She describes the building as a “very high-quality property in a great location.”
The fully occupied building has 48,275 SF of rentable space, including 7,500 SF of ground-floor retail, 39 apartments and more than 135 underground parking spaces.
The property is two blocks from Beverly Hills, which is also a draw, Kitty tells us. Eretz Properties posted a $200k non-refundable deposit and an agreement to conduct an abbreviated due diligence period of just five days while also pledging to close the deal within 30 days.
The firm paid cash and the prepayment penalty on the current loan. It paid $574,359 for each unit (the building includes studio, one-, two- and three-bedroom units). Out of the hundreds of apartments she has sold, Kitty says it's difficult to find product of that quality.
Amenities include double sinks for preparing kosher meals, maple hardwood floors, double-paned windows to block out street noise and dishwashers that cost $1,500, according to Kitty.
There is an optional Shabbat elevator for residents to use on the Jewish Sabbath.
Projected growth in the area is making the neighborhood increasingly popular, Kitty says. A recent study shows the population on the Westside could grow by 3.4% over the next five years.
SALES
Woodland Business Park, a six-building campus with 44k SF of office space in Palmdale, sold for $4,873,000.
The property at 1601-1609 and 1543 Palmdale Blvd in Palmdale, CA, sits on four acres with buildings ranging from approximately 5k to 8k SF.
Lee & Associates-LA North/Ventura managing director and principal John Battle repped the seller, Woodland Business Park LLC. The property is 80% occupied and is on eight separate parcels. The seller bought the property in 2008.
The buyer, Roy Medical Group, occupies about 3k SF in the complex, and plans to expand to occupy over half the property. The purchase was made with a loan through Irvine, CA-based Plaza Bank.
Charles Dunn Co sold a 14,474 SF light industrial property (310 N Madison Ave) for $3.3M.
The buyer, Wood Kusaka Studios, plans to use the more than half-acre property for an art studio. It's relocating from Culver City.
The property, built 45 years ago, was previously used for entertainment and sporting events.
Charles Dunn Co's John Anthony, Chris Steck, Dennis Slattery and Chris Giordano repped the seller, Fitzpatrick Trust.
Marcus & Millichap affiliate Azzi Advisors sold an eight-unit rent-controlled apartment building (536 N Orlando Ave) in West Hollywood in an off-market deal to an international buyer.
The property has units averaging nearly 1k SF. There are four one-bedroom, one-bathroom units and four two-bedroom, two-bathroom units.
Azzi Advisors' Tony Azzi and Jordan Asheghian repped the buyer and the seller.
LEASING
CBRE Group successfully completed a lease for Premier Business Centers at 26565 W Agoura Rd in Calabasas for nearly 14.5 SF.
The lease marks Premier Business Centers’ first location in Conejo Valley.
Lee & Associates' Jared Smits repped the tenant on the 10-year lease.
CBRE's Tom Dwyer and Michael Slater repped the landlord, Lincoln Property Co.
CONSTRUCTION
Bernards completed a five-story, approximately 80-unit senior housing project for Sunrise Senior Living.
The 85,432 SF facility is at the intersection of Hawthorne Boulevard and Rolling Hills Road at the foot of the Palos Verdes bluff.
The complex features a dining room, full kitchen, nursing office, activity rooms, spas, beauty salon and laundry facilities. It was designed by architectural firm Hill Partnership.
EXECUTIVE NEWS
Cale Ottens joined Vectis Strategies as an associate partner in its downtown LA office. Cale will work in the firm’s media relations and public relations practice. Previously, he was a commercial real estate reporter at the LA Business Journal, where he also covered the local legal industry.
Will Adams and Norman Lee joined Newmark Grubb Knight Frank as executive managing director and senior managing director, respectively. They will work from NGKF's downtown LA office. Previously, Will was an SVP at CBRE and worked as a senior managing director with Studley. Lee was previously at CBRE, where he worked as a first VP and is a former managing director with Studley.
MVE + Partners promoted Matt McLarand to principal. He has worked in lead positions on designs in the US and China. Matt is now leading the design team for two high-rise residential properties in downtown LA designed for Holland Partner Group.
