SUNNYVALE, CA-Mesa West Capital of Los Angeles has acquired the$130 million note on three 13% occupied class A office towerstotaling 951,000 square feet, citing the potential to fill thespace when the market improves, according to Mesa West principalRonnie Gul. The three towers, developed by San Francisco-based JayPaul Co. and completed in 2008, are part of a six-story,multi-story project totaling 1.6 million square feet called MoffettTowers at the juncture of Highways 101 and 237.

The collateral on the note includes phase one of the officecampus, which is composed of the three largest and most prominentbuildings. Although the collective occupancy of the three buildingsis 13% following a recently signed 125,000 square-foot lease withRambus, Gul says that Moffett Towers “is a high-profile,first-to-lease asset that's uniquely positioned to capture theexpected increase in demand for class A office space." Gul adds,“This note purchase fits perfectly within our lending platform offinancing high-quality, well located transitional assets backed bystrong local sponsors."

Gul continues: "Much of the available inventory in SiliconValley is older and outdated, and while largely vacant we believeMoffett Towers is well positioned to take advantage of the flightto quality as fast-growing technology companies seek to upgradetheir image with higher quality space." The note sale was arrangedby Noble Carpenter and Michel Seifer of Jones Lang LaSalle.