This Week's LA Deal Sheet
Silverstein Properties inked five new leases at the U.S. Bank Tower totaling 72K SF. The largest lease was 27K SF for investment bank Lincoln International, which signed a 10-year lease to expand its existing footprint on the 66th floor onto the 67th floor. McKinsey also agreed to just over 19K SF on the 69th and 70th floors of the skyscraper, at 633 West Fifth St.
A joint venture of Focus Real Estate and Long Wharf Capital bought a four-building industrial park in City of Industry, paying $30.75M. The 96K SF property at 19501 East Walnut Drive South, 1180 Wright Way, 1170 Wright Way and 19449 East Walnut Drive South in City of Industry. The Daum Capital Markets group of Costa Mesa represented the buyers. The seller, a private investor, represented itself in the transaction.
Sunnyview Villa Apartments at 2900 North Indian Canyon Drive in Palm Springs sold for $11.25M. The buyer is an undisclosed California-based affordable housing investor. The seller is an undisclosed Utah-based investor. The Mogharebi Group represented both parties in the transaction.
Private investor group Loma Starr sold two two-story buildings at 3051-3055 Rosecrans St. and 3065 Rosecrans Place in San Diego’s Midway District for $7.4M. The buildings total about 29K SF. The buyer was Crown Point Systems Inc., which will use part of one of the buildings for its offices. Peter Curry, Brooks Campbell and Kevin Cuff with Cushman & Wakefield’s Private Capital Group in San Diego represented the seller. Cast Capital’s Bret Morriss represented the buyer.
Tejon Ranch Co. and Majestic Realty Co. completed construction and inked a full-building lease of a 629K SF distribution facility to an undisclosed major retailer at the Tejon Ranch Commerce Center. JLL’s Brent Weirick, Peter McWilliams and Mac Hewett represented the landlord, while JLL’s Tony Beatty, Mike McCrary and Cody Clayton represented the tenant.
JLL Capital Markets arranged 55% loan-to-value acquisition financing for private equity real estate firm Northland's $504M purchase of Thea, a 685-unit apartment building in Greenland USA's Metropolis development Downtown. JLL’s Capital Markets Debt Advisory team was led by Managing Directors Brandon Smith and Annie Rice. JLL’s Capital Markets Investment Sales Advisory team was led by Managing Director Peter Yorck, Senior Managing Director John Strauss and Director Nick Lavin.
The sale marked the largest single-asset, multifamily housing trade in state history, according to JLL.
Sonnenblick-Eichner Co. arranged a $22M first mortgage for the leasehold interest in the Doubletree by Hilton Los Angeles-Commerce, a 201-room hotel in Commerce, California. Proceeds were used to pay off a maturing CMBS loan and provided for a return of equity to the partnership.
The buyer of a mixed-use property at 2024 and 2065 West Sixth St. in Los Angeles received $20.8M in acquisition financing for the purchase of the 81% occupied property. Zalmi Klyne, senior vice president and managing director of Northmarq’s Los Angeles debt and equity team, arranged the acquisition financing. The residential, office and retail property contains 66 studio apartments.
THIS AND THAT
LA-based Hyperloop Transportation Technologies is planning to go public via a merger with special purpose acquisition company Forest Road Acquisition Corp. II, LA Biz Journals reported. The deal values Hyperloop TT at $600M and will give it net proceeds of about $330M, according to the company.
People Assisting the Homeless received a $5M grant from the Bezos Day 1 Families Fund — the largest private gift in PATH’s history. PATH plans to use the grant to fund permanent supportive housing for families and to retain and train PATH staff.