Barker Pacific did not disclose how much it paid for the controlling interest, which it purchased from a Midwest-based seller in a direct deal between buyer and seller. The other owners of the building include a number of private investors and institutions.

The 15-story building at 101 Continental Blvd. sits in the middle of the El Segundo office market and is adjacent to the Los Angeles International Airport commercial district. The office tower was constructed in 1972, and Xerox Corp. has occupied the entire building since 1983.

Michael Barker, managing director for Barker Pacific, says the firm found the Xerox Centre deal attractive because the property has sublease space available to attract new tenants, and the building needs both aesthetic and mechanical upgrades, meaning it should command higher rents after the upgrades. Barker cites the number of large corporate space users in the local market, which he also describes as very attractive to major employers seeking close proximity to LAX. About 107,000 sf of the building is available for sublease, or about 32% of the space. Barker Pacific has enlisted the CB Richard Ellis team of Kyle Lundy and Todd Tydlaska in CBRE's Torrance office to market the sublease space.

The Xerox Centre purchase is the second major investment by Barker Pacific Group in recent weeks. Following the investment groups sale of the Fine Arts Building on Seventh Street in Downtown Los Angeles several months ago, Barker Pacific several weeks ago acquired 626 Wilshire Blvd., also in Downtown Los Angeles.

Barker Pacific Group is active in asset management, acquisitions and development of commercial projects. The company was founded 20 years ago to specialize in the development and acquisition of institutional quality office, retail, and residential projects in selected US cities. The firm is also a developer, with a total of $1 billion in projects either completed or under development or redevelopment.