Investors Duck China’s Capital Restrictions

The Arcadia Gateway Center is a 156,046-square-foot mixed-use office, retail and medical complex.

LOS ANGELES—Despite restrictions from China on exporting capital, Chinese investors are still showing up at the bidding block. Several Chinese investors bid on the recent sale of the Arcadia Gateway Center, which ultimately traded hands for $62 million. The property is a 156,046-square-foot mixed-use office, retail and medical complex that traded hands for a 5.45% cap rate.

“Despite recent changes in China with regard to the restrictions on exporting capital, there was an unusually large amount of interest from Chinese investors, primarily due to the property’s superior location within the San Gabriel Valley,” Pat Kent, EVP at Hanley Investment Group, tells GlobeSt.com. “The high level of investor interest and the number of qualified offers procured within the first 30 days demonstrates a still very healthy and active market that is hungry for quality, diversified investment opportunities such as Arcadia Gateway Center.”