The LA Deal Sheet
Arizona State University is expanding its presence in Los Angeles.
Capitalizing on the resurgence of downtown Los Angeles, the university announced that it would move into the former Herald Examiner building at 146 West 11th St.
Arizona State University officials said they plan to occupy a majority of the 100K SF building and house student educational programs such as journalism and design and art.
“We are excited to be taking part in the resurgence of L.A.’s downtown,” ASU President Michael M. Crow said in a news release. “Not only does the building illuminate the city’s rich history dating back more than a century, we look forward to our presence there to play an important role in adding to the downtown’s intellectual, cultural and economic vibrancy.”
Built in 1914, designed by renowned architect Julia Morgan and commissioned by William Randolph Hearst, the landmark building in the South Broadway area of downtown was home to the Herald Examiner newspaper from 1915 up to its closing in 1989.
Now owned by Georgetown Co., the Spanish Colonial-styled building is being renovated and modernized. The property is currently vacant. The restaurant Republique is expected to open on the ground floor in late 2018, and ASU expects to begin occupying the building in 2020, ASU officials said. ASU officials did not disclose the cost of the lease.
This move comes as ASU continues to expand in Los Angeles. The university has housed some programs at its California Center in Santa Monica since 2013 and also has a partnership with the Los Angeles County Museum of Art.
“We already take seriously our responsibility to the enhancement of the community, but this growing engagement will allow us to provide students and faculty creative new learning experiences, work with new strategic partners, and participate in the critical issues facing the nation’s second largest city,” Crow said.
SALES
Korda Group has acquired a 288-unit apartment complex in San Dimas from Stockbridge Capital Group and CNS Focused Investments for $78.5M. The Trails at San Dimas sold for $272,569/unit. Marcus & Millichap’s Institutional Property Advisors team of Greg Harris and Joseph Grabiec represented the buyer and seller.
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Hope & Happy LLC has purchased a 13,300 SF office building in Norwalk from Timsa LLC for $5.6M. Bank of America is a tenant at the property at 12419 Norwalk Blvd. and has four years left on its lease. The transaction closed at a 4.9% cap rate. Charles Dunn Co.’s Kyle Gulock and Matt Kramer represented the seller. Nelson Shelton & Associates’ Juliet Shoham represented the buyer.
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Venetian Place LLC has sold an eight-unit rental property in the Mar Vista neighborhood of Los Angeles to S.R. Properties LLC for $4.6M. Built in 1990, the three-story, 11,482 SF apartment building at 11852 Washington Place has six two-bedroom units and one one-bedroom unit and is next to a three-bedroom house that is also part of the property. Stepp Commercial’s Kimberly Stepp and Mark Ventre represented the seller.
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XYZ Rent 11 has purchased an eight-unit apartment building in the Beverly Grove neighborhood of Los Angeles from a private investor for $3.3M. Built in 1956, the building at 9033 West Third St. sits on a 5,680 SF lot. The property sold at a 1.99% cap rate and $413,125/unit. Charles Dunn Co.’s Michael Monempour represented the seller. Beverly Hills Mint represented the buyer.
FINANCING
On behalf of a JV of EverWest Real Estate Investor and an undisclosed investment partner, HFF has arranged $12.8M financing for three industrial buildings in the City of Industry. An insurance company provided the 10-year, nonrecourse loan at a 4.20% fixed rate. Renovated in 2006, the distribution and warehouse buildings at 341-345 Baldwin Park total 165,681 SF. HFF’s Matthew Stewart and other members of the company’s debt placement team represented the borrower.
LEASES
Luminaire, a multi-brand home furnishings showroom, has signed a 10-year lease with Crown Equity to occupy 21K SF of retail space in West Hollywood. The financial terms of the deal were not disclosed. Luminaire will occupy two stories at 8840 Beverly Blvd., the former site of Antiquarius Jewelry Mart. Cushman & Wakefield’s Carine Mamann and Kazuko Morgan represented the landlord.
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Children’s indoor playground Kids Empire has signed a 10-year lease with Exel Realty Partners L.P. to occupy 10K SF of retail space at Bakersfield Plaza in Bakersfield. The financial terms of the deal were not disclosed. The Los Angeles office of Kidder Matthews’ Stephan Ktorza and Shelby Dopps represented Kids Empire.
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European indoor climbing company Hapik has signed a 10-year lease with El Paseo Center SPE to occupy 5,130 SF of retail space at the El Paseo Shopping Center in South Gate. The financial terms were not disclosed. The El Paseo Shopping Center is at 8712 Garfield Ave. Kidder Matthews’ Stephan Ktorza and Shelby Dopps represented Hapik. Newmark Knight Frank’s Peter Spragg represented the landlord.
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Philippines-based fast-food quick-serve restaurant Jollibee has signed a 15-year, $4.5M lease with Escondido Mission Village LDT to occupy a 3,300 SF retail building in Torrance. The building at 20026 Hawthorne Blvd. is part of the Best Plaza retail shopping center that includes tenants such as Planet Fitness, David’s Bridal, Togo’s and Geico. Colliers International’s Kent Butler and Ryan Marn represented Jollibee. MEI Real Estate Partners represented the landlord.
EXECUTIVE NEWS
Lendlease has promoted Ben Symons as general manager of its construction business. Symons will be responsible for the international property and infrastructure group’s business operations, business ventures and forging new partnerships in the Los Angeles market. Symons, who has been with Lendlease for 18 years, previously served as general manager of project management in Dallas.
AWARDS
PHX Architecture received a Merit Award for Best Commercial Project under 20K SF for the company’s work on Saint Marc restaurant in Century City. The 8K SF upscale casual restaurant at the Westfield Century City mall features a round bar with a custom-made chandelier made of 300 wine glasses and a 722 SF patio.
