This Week's LA Deal Sheet
Taiwan-based tech company Advantech has secured a 9.5-acre property in Tustin for its North American headquarters. The property was locked down through a ground lease with an option to purchase, and Advantech intends to take ownership of the property in 2034, according to a release from Kidder Mathews.
Kidder Mathews brokers Eric Tse and Oliver Ternate represented Advantech in the deal, securing the lease from the South Orange County Community College District. David Knowlton, Kirby Greenlee and Mariko Beaver of NAI Capital represented SOCCCD.
Advantech’s build-to-suit headquarters will include a six-story, nearly 109K SF office building as well as a two-story, almost 79K SF warehouse the company will use for light manufacturing, repairs and storage.
PEOPLE
Goldrich Kest hired Andrew J. Kastanos as its new chief financial officer. Kastanos comes to Goldrich Kest following a 12-year tenure at StreetLights Residential, where he also held the CFO role.
Kastanos will oversee the company’s cash flow, financial planning, long- and short-term strategizing, and overall business operations. Kastanos joins GK as the company “aims to expand its operations and reinforce its standing in the real estate market,” according to a release announcing his hiring.
SALES
Bridge Logistics Properties acquired an approximately 58K SF last-mile logistics facility at 1215 W. Walnut St. in Compton. A price tag wasn't disclosed, but in a release announcing the transaction, BLP Managing Director Paul Jones said the property was acquired “at a significant discount to replacement cost taking advantage of the current disruption in the capital markets.”
The warehouse is adjacent to the 91 Freeway, offering linkage to the Ports of Los Angeles and Long Beach, Los Angeles International Airport and Downtown LA. The building is fully leased through June 2025. Rob Flores and Brian Held of CBRE represented BLP in the transaction.
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JLL Capital Markets arranged the roughly $11M sale of a 48K SF Class-A warehouse and distribution facility in Santa Fe Springs. The property at 10329 Painter Ave. is fully leased to a single tenant.
JLL represented the seller, an affiliate of Zurich Alternative Asset Management, and procured the buyer, Sterling Investors LP.
The JLL Capital Markets team was led by Senior Managing Director Mark Detmer and Directors Chad Solomon and Makenna Peter. Managing Directors Cameron Driscoll and Luke McDaniel served as local market contacts.
LEASES
The nonprofit California Appellate Project of Los Angeles signed a 10-year renewal on its 13K SF lease at Biltmore Court, located at 520 S. Grand Ave., adjacent to the hotel of the same name in Downtown Los Angeles. CAP-LA’s renewal represents one of the fourth quarter's largest office deals in Downtown LA, according to a release from Kennedy Wilson.
Kennedy Wilson Brokerage Executive Vice President Lee Shapiro and sales associate Max Browne closed the transaction on behalf of the landlord, WHB Biltmore LLC.
FINANCING
Calmwater Capital has provided Alhambra-based GE Development with a roughly $32M construction loan to complete The One, an 81-unit multifamily development with 13K SF of ground-floor retail in San Gabriel.
Calmwater’s financing will take out the original construction lender, with a portion of the loan proceeds to be used to fund hard and soft costs needed to bring the project to 100% completion. The property was 86% complete at the close of Calmwater’s loan.
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Gantry secured a $28.5M construction-to-permanent loan for the redevelopment of an existing office building 100% pre-leased by the General Services Administration as a new facility for the Department of Justice’s Executive Office of Immigration Review. The 66K SF office building at 5245 Pacific Concourse Drive in the unincorporated Los Angeles neighborhood of Del Aire is planned to be a modern facility tailored to the agency.
Gantry principals Mark Ritchie and Amit Tyagi, along with associate Alicia Sabanero in the firm’s El Segundo office, represented the borrower, a private real estate company. The multidecade construction-to-permanent loan was provided by one of Gantry’s correspondent life company lenders. The financing has a long-term fixed interest rate.
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The Colliers structured finance group closed a $27.8M Fannie Mae loan to refinance Edgeway, a 91-unit apartment complex in Bellflower built in 2023. The loan is priced at 5.5% for five years and was arranged for Serrano Development Group by Colliers’ Jonathan Lee, Bill Hyatt and Shahin Yazdi.
Colliers closed the Fannie Mae loan prior to property stabilization. The Edgeway holds one-, two- and three-bedroom units with open floor plans, quartz countertops, stainless steel appliances, in-unit washers and dryers, and balconies.
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Newmark arranged a $16.5M loan to refinance CAVU Business Park at 18872 and 18952 MacArthur Blvd. in Irvine. The business park totals 100K SF across two four-story buildings. Newmark Managing Director Brian Bowis led the refinancing effort on behalf of Camphor Partners.
CAVU has been updated to include new elevator cabs, HVAC systems and common areas. CAVU also offers a surface parking lot to its tenants. The building has maintained 100% occupancy since the pandemic, Bowis said in a statement, attributing the retention to the slew of upgrades.
Newmark Managing Directors Richard Sung and Andrew Robben handle the leasing of the property.
