Los Angeles

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Franklin Pointe Associates LLC has sold the Franklin PointeApartments in Hollywood for $7.4 million. Located at 1825 N.Cherokee Ave., the three-story 53-unit apartment complex lies atthe heart of Hollywood's renaissance. Darin Beebower of MadisonPartners was the listing broker for the property, representing boththe buyer, 1825 Partners LP, an L.A.-based real estate investmentcompany, and the seller. The property was substantially renovatedby the previous owner and the new owner plans minimal cosmeticupgrades to the well occupied building. The complex has a unit mixcomprised of eight studio units, 29 one bedroom/one bath units,eight one bedroom/two bath/den units and eight two bedroom/two bathunits. The property consists of 42,945 square feet and is situatedon a 23,479-square-foot lot. Originally constructed in 1963, theproperty was renovated in 2007-2008. "The buyer recognized theunique opportunity to acquire a renovated asset in an excellentlocation at a basis that should minimize their downside exposurewhile allowing for great cash flow and significant potential upsideas the economy and local rental market recover," says Beebower.According to Beebower, the property received numerous offers fromlocal families and private investment groups attracted to theexcellent condition, outstanding location and optimistic belief inthe long-term strength of the sub-market. Brian Eisendrath of CBRECapital Markets secured the borrower's new seven-year debt at afixed rate of 5.45% via Freddie Mac's DUS program.

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Dominion Healthcare Financial Corp., a subsidiary of DominionCorp., a national commercial real estate banking firm headquarteredin Los Angeles, closed a complicated $14.125 million loan on aportfolio of five skilled nursing facilities in California.Dominion Corp. VP Loren Thall structured a capital stack thatconsists of both senior and subordinated debt, of which $10.125million is secured by the real estate. The remaining $4 million issecured by the accounts receivables of the skilled nursing homes.The five-year loan amortizes over 25 years and is based on a debtcoverage ratio of 1.35 at an LTV below 70%. "This was the secondtime we have worked with this borrower," Thall pointed out. "Thishelped when coordinating the various and complicated ownershipstructures and other components of the transaction." He saysthe financing provided significant challenges because the debtneeded to be structured to allow for some of the equity partners'ownership interests to be phased out, while also completing alease-purchase option and providing working capital for the theborrower, an owner/operator of healthcare properties. Dominioneliminated the prepayment penalty of 1% after year one of thefive-year loan term. The properties totaling 235 beds, are locatedin San Francisco, Oakland, San Leandro and Culver City. All of theproperties were originally constructed in the 1960s and 1970s andhave since been renovated. The facilities offer skilled care aswell as acute care services and are also Medicaid and/or Medicareproviders.

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Southwestern Law School has acquired a 40-unit apartmentbuilding at 676 Shatto Place from Shatto Place Apartments LLC, aLos Angeles-based private investor. The buyer was represented by bysenior vice president Hirsch Sherman and vice president JaredLevine of KW Commercial on behalf of Southwestern Law School; theseller was represented by Seth Polen, also of KW Commercial. Theasking price was $5.1 million, but the purchase price wasundisclosed. The apartment building, which was 98% occupied at thetime of the sale, was built in 1927 and renovated in 2006renovation. The mix consists of 33 studios and seven one-bedroom,one-bath units. "In a market of such diverse real estate investmentmediums, it is good to see conventional deals still getting done.We have several other conventional deals under contract and we lookforward to a stronger 2010 market," Levine says.

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Orange County

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[IMGCAP(2)]Grubb & Ellis Co. has represented MachineWorksLLC in the lease of 19,431 square feet at MachineWorks Building tothe US General Services Administration, Indian Health Services.Indian Health Services has executed a 15-year lease and will occupythe entire eighth floor of the building, bringing the building to90% leased. "MachineWorks was delivered in the worst economicmarket in memory and we are thrilled to be hitting the 90% leasedmilestone after just 12 months," says Al Solheim, MachineWorks'managing partner. Jones Lang LaSalle represented the GeneralServices Administration in the transaction. Located at 1414 NWNorthrup St., MachineWorks is a 209,000-square-foot mixed-useproject, incorporating four levels of class A office space totaling70,844 square feet, a state-of-the-art LA Fitness Facility andthree levels of parking.

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SWH Corp. leased 21,910 square feet of industrial space, locatedat 1820 E. Walnut Ave., Fullerton, from 360 South AcaciaPartnership. Jeff Read of Grubb & Ellis' Anaheim officerepresented the lessor in the transaction. Tom McAllister of CBRichard Ellis represented the lessee.

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Ecliptek Inc. signed a lease renewal for 21,567 square feet ofindustrial space, located at 3545 Cadillac Ave., Costa Mesa, fromTetsuo Mori Testamentary Trust. Jeff Read of Grubb & Ellis'Anaheim office, in conjunction with Scott Read of Grubb &Ellis' Newport Beach office, represented both parties in thetransaction.

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San Diego

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Asset Marketing Systems leased 19,652 square feet of officespace for three years, four months at 15050 Avenue of Science,Suite 100, from Arden Realty Inc. for $1.4 million. Richard Gonor,Tony Russell, and Brian Starck of Cassidy Turley BRE Commercialrepresented the lessor in the transaction. Scot Ginsburg of JonesLang LaSalle represented the lessee.

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Inland Empire

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The University of California Riverside and Barnhart BalfourBeatty have completed a $15-million renovation of the University'sgeology building. The project was completed in multiple phases overthe past three years while research and experiments remained activein the occupied building throughout construction. The project wassuspended for nine months near the end of construction because ofthe State's temporary freezing of bond funding for numerousprojects throughout the UC system. The 58,546-square-foot geologybuilding received upgrades to building systems, infrastructure andseismic enhancements. Upgrades to building systems included newelectrical switchgear, emergency generators, lighting andcommunications systems. Replacements also were made to windows,interior partitions, doors, HVAC systems, offices, and electricaland plumbing services to all labs, including all new lab equipmentand casework. WWCOT Architecture provided architecture andengineering services.

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A private investor shed a 3,000-square-foot Jack in the Box fornearly $2.2 million at 2560 Perris Blvd. in Perris, CA. The salesprice represents a 6.5% cap rate and $725.00 per square foot. Thebuyer and seller were undisclosed. Marcus & Millichap RealEstate Investment Services had the exclusive listing to market theproperty.

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Honolulu

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A local orthodontist purchased 1210 Ward Ave., a15,000-square-foot office building in Honolulu for $2.3 million.Hawaii Commercial Real Estate LLC represented the orthodontist inthe purchase and in the 90% financing with the SBA 504 loanprogram. Jamie Brown handled the real estate transaction and TedKetcham arranged the financing. Hawaii Commercial Real Estate ismanaging and leasing the property for the new owner, who willrenovate the property, relocate her office to about half of thebuilding and lease out the balance.

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Denver

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Grubb & Ellis|Commercial Florida, recently negotiated thesale of a 30,040-square-foot industrial building at 4707 Lima St.in Denver. Tom Kennedy, vice president in the firm's officeservices group and Sean Kennedy vice associate negotiated thetransaction representing the seller, Clearwater, FL-based MetalIndustries. Tacoma, WA-based Ellingson Brothers LLC, a food serviceequipment and supply company purchased the facility for expansionof its operations in the Northwest.

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Natalie Dolce

Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.