WEST HILLS, CA-GlobeSt.com has exclusively learned that a 987,428-square-foot multi-building office campus here has changed hands. The buyer, paid nearly $92 million for the Corporate Pointe at West Hills asset, was Brookfield Opportunity Fund.
The office campus encompasses 10 multi-story buildings spread across 80 acres of land and is bound by the scenic Chatsworth Reservoir to the North, Roscoe Boulevard to the South, Fallbrook Avenue to the East, and Woodlake Avenue as the next major street to the West.
The resort-style campus has extensive water features, a 144-seat amphitheater with a bar, and a convenient onsite café servicing a broad base of tenants. The site has been developed in phases and renovated since the first buildings were constructed in 1956 and offers the additional opportunity to develop two more fully entitled buildings consisting of 360,000 rentable square feet and a 969 car parking garage.
CBRE represented the seller, Bentall Kennedy, in the deal and is also currently assisting Brookfield in the placement of debt for the asset. While CBRE couldn’t detail reasons why Bentall chose to sell, an unidentified source tells GlobeSt.com that “Bentall Kennedy has been divesting non-strategic suburban office assets and focused on upgrading their portfolio with class A CBD office assets in major markets,” as the reason.
According to CBRE vice chairman Kevin Shannon, “Corporate Pointe at West Hills is a very unique office campus with major upside potential and scale attractive to an investment firm like Brookfield. The campus offers the some of the largest blocks of contiguous space in the San Fernando Valley and has historically outperformed its competitive set.”
Shannon explains that “Brookfield’s per-square-foot basis advantage in conjunction with an improving leasing market will allow them to increase occupancy and revenue in the next few years. An extremely attractive debt market will augment their returns.”
The office campus was 53% leased at the time of sale to a multi-tenant, high-quality rent roll that includes representation from the technology, finance and biotechnology industries.
CBRE’s Shannon represented the seller along with CBRE’s Tom Bohlinger, EVP; Ken White, SVP; and Michael Longo, associate.