Institutional Investor Buys Glendale Asset at Discount

The property is located in Glendale, a submarket of Los Angeles.

LOS ANGELES—DivcoWest has acquired Glendale Plaza, a 24-story 531,000-square-foot office tower in Glendale. The terms of the deal were not disclosed, but industry sources unrelated to the transaction tell GlobeSt.com that the property traded hands for $179 million. The sales price is a clean $35 million below the property’s price tag in 2006, when Prudential RE Investors purchased the asset for $214 million. DivcoWest was able to pick up the property as a discount.

Sean Sullivan of the CBRE Capital Markets Team did not comment on the price of the property, but tells GlobeSt.com, “We were at where we expected in price, but it is below what it traded for in 2006. In Glendale, people look at the market today as being way better than it was 10 years ago, because of the new residential and the retail amenities, but you can buy property at a discount. That is a lot of what is driving the interest in Glendale.” Sullivan represented the seller in the deal, along with Todd Tydlaska, and Michael Longo, while CBRE’s Brad Zampa represented the buyer.