Jennifer Esser of Sperry Van Ness tells that thepurchase was unusual in that the buyer typically invests inapartments, although the partnership has recently acquired anotheroffice building. Esser represented the buyer, while Mike Austin ofSperry Van Ness represented the seller.

Esser says the Knowleton-Christopher partnership chose theCommercentre Drive building for the higher cap rate it offered incomparison with most apartment deals, and because the buyersespecially liked this particular property. The sale closed at a 9%cap rate, she tells, versus cap rates in the 6.5% rangefor many apartment deals lately. The buyers acquired the buildingin a 10-31 exchange after selling some land they had entitled.

The 25381 Commercentre Drive building is one of six two-story,concrete tilt-up office buildings in the 167,585-sf PacificCorporate Park. The business park was built in 1999 and is at thecorner of highly traveled Bake Parkway and Commercentre Drive, nearthe Foothill Transportation Corridor.

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