This Week's LA Deal Sheet
Kennedy Wilson provided a joint venture of Greystar Real Estate Partners and The Resmark Cos. with a $95M senior construction loan for a project in Santa Clarita.
The loan will allow the JV to break ground on a 259-unit rental property and 64 build-to-rent townhomes in Sand Canyon Plaza, a master-planned community.
Sand Canyon is right off the 14 Freeway and will contain parks, retail and walking trails when complete.
SALES
JLL Capital Markets closed the $6.2M sale of Newport and Walnut Center, an approximately 10K SF retail strip center in Tustin. The retail center is 100% leased. JLL worked on behalf of the seller, a private family trust, and the buyer, World Premier Investments, which acquired the asset for a 1031 exchange.
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Fortress Investment Group sold a 74K SF industrial and office building in Historic South Central to Planned Parenthood for $37.9M, The Real Deal reported. Fortress bought the building at 320 and 336 W. 31st St. in 2021 for $22.8M.
LEASES
Lee & Associates - LA North/Ventura principals Scott Caswell and Erica Balin closed a $15.6M lease transaction at 2950 Madera Road in Simi Valley. Caswell and Balin represented the tenant, fulfillment company River Plate Corp., for the lease of the roughly 136K SF building. The landlord is Rexford Industrial.
The property is just off the 118 Freeway and features 13-foot dock-high doors that can expand to 25-foot dock-high doors if needed.
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Production company Fab Factory Entertainment leased a 66K SF post-production studio, office and event center in East Hollywood at 1377 N. Serrano Ave.
CONSTRUCTION AND DEVELOPMENT
King Street Properties is planning a 60K SF spec lab and life sciences redevelopment of an office building, Mesa Labworks, in San Diego’s Sorrento Mesa submarket. King Street’s project at 5825 Oberlin Drive was originally built in the mid-1980s and most recently repositioned for creative office use in 2016. Construction on the project’s first two spec lab suites is underway.
Mesa Labworks will deliver move-in-ready suites ranging from 8K SF to 15K SF and is expected to be complete in August. Cushman & Wakefield’s Mike Novkov, Bill Cavanagh and Brett Ward lead leasing.
FINANCING
CBRE secured $200M in financing for the 600-unit Alexan West End, a multifamily project in Long Beach. The financing package includes a $166M construction loan from Kennedy Wilson and a $34M mezzanine loan from a national life insurance company. The financing was secured by CBRE Capital Markets' debt and structured finance teams, including Bill Chiles, Scott Peterson and Morgon Fraser in San Diego and Tom Traynor and Adam Spengler in New York City.
