This Week's LA Deal Sheet
A company recently featured on ABC's "Shark Tank" just purchased a 58,555 SF industrial property in Paramount.
CBRE brokered the sale for dbest products, a manufacturer of lightweight, collapsible rolling carts and bags, as part of a 1031 exchange.
CBRE Vice President Robert Flores said dbest products' owner was interested in the building because of its central location and functionality.
"The property is 22-foot clear, and he was able to purchase the existing racking system with a high-pile storage permit, which will enable him to fully utilize the building’s functionality," Flores said. "Long term, the property represents a great investment, as each of the five units on the site has dock-high loading, and he has the flexibility to lease them out together or separately.”
Flores, CBRE First Vice President Brian Held and Senior Associate Ryan Foley repped Richard Elden, the owner and president of dbest products, in the $9.31M purchase of the property at 7825 Somerset Blvd. and in the $4.39M sale of his previously owned and occupied 30,512 SF building at 15500 Cornet St. in Santa Fe Springs.
Flores, Held and Foley also repped Elden in the original purchase of the Santa Fe Springs property two years ago.
SALES
Stepp Commercial brokered the $4.65M sale of East Second Street Apartments, a 16-unit apartment property within the Alamitos Beach neighborhood of Long Beach.
The property closed at a 4.2% cap rate and a price per unit of $290,625.
The three-story property at 1175 East Second St. was built in 1964 and has six one-bedroom units and 10 two-bedroom units.
The property offers a central courtyard, eight private garages, a laundry facility and controlled-access entry.
Eight of the units recently went through a reno that included adding new kitchens with granite counters and stainless steel appliances and updated bathrooms.
Stepp Commercial principal Robert Stepp and Vice President Michael Toveg repped the seller, a private investor from Pacific Palisades.
The buyer, a private investor from Orange County, was repped by Colliers International Senior Vice President Pat Swanson.
ArcWest Partners, a JV between Arc Capital Partners and Belay Investment Group purchased 2807 Sunset Blvd., a 30K SF historic office building with ground-floor retail in Silver Lake.
This is the second acquisition in LA by the JV, which was formed to target urban infill properties.
Bestor Architects principal Barbara Bestor will be the lead architect for repositioning the building. The Assembly Group, a partnership between Steve Edwards and Beau Laughlin, will program the building.
Industry Partners partner Carle Pierose is the property’s office leasing broker, while Marc Finkel of RKF will lead retail leasing.
Marcus & Millichap Vice President Martin Agnew repped the seller.
Harbor Associates in a JV with Stockbridge Capital Group purchased 10281 West Pico Blvd., a 33K SF headquarters building in Century City, through a distressed liquidation sale that closed in 25 days.
The 36-year-old building is built the former headquarters for the LA Rams.
The seller, a local entertainment company, plans to lease back the building for the next six months.
Harbor is planning to reposition the building through a comprehensive reno that will include a redesign of the building's exterior and entry, upgraded lobbies and restrooms and new indoor and outdoor amenity spaces.
The project will be renamed Bespoke Century City.
Sklar Kirsh founding partner Andrew Kirsh repped the buyer.
NGKF President of West Coast Capital Markets Kevin Shannon and Senior Managing Director Rob Hannan also repped the buyer and seller.
LEASING
Dovetail Furniture and Designs leased an additional 39,445 SF in a Carson industrial building for $2.8M.
It brings the company's total occupancy at the site to 90,650 SF.
Dovetail Furniture and Designs expects to complete expansion of the property, at 16901 Keegan Ave., in November.
Dovetail Furniture is headquartered nearby at 14000 South Figueroa St., where it also has a showroom.
The new space to be occupied by Dovetail Furniture features concrete tilt-up construction, 10 dock-high loading positions, 1,827 SF of office space and on-site parking for 85 cars.
The Klabin Co./CORFAC International Senior Vice President Matt Stringfellow and Senior Vice President Courtney Bell repped Dovetail Furniture and dealt direct with the property's owner, Alere.
Bone Clones, a producer of hand-made replicas of bones, teeth, skulls and skeletons for educational institutions, TV and film, and collectors, inked a lease for 19,763 SF of industrial space in Chatsworth, expanding from its current facility by about 40%.
Bone Clones had several highly specialized requirements, including a facility that was fully air conditioned with high ceilings to accommodate some of its replicas, which can be over 9 feet tall.
The business also needed enough parking for its employees.
Lee & Associates-LA North/Ventura principal Scott Caswell and Associate Erica Owens repped the landlord, Northwest Industrial Center LLC.
Associate Mike Ebbitt repped Bone Clones.
The long-term lease is valued in excess of $1M.
FINANCING
Canyon Partners Real Estate has provided a $21.6M senior construction loan to finance the development of a 35-unit luxury condo project along Sunset Boulevard in Silver Lake.
The project, which is being developed by a JV between Barth Partners and Barry Leddy Developments, will be the first new luxury condo development of its kind to deliver along this Sunset Boulevard submarket in over 10 years.
The project is on a 0.37-acre site at the intersection of Sunset Boulevard and Micheltorena Avenue.
