LOS ANGELES—A joint venture between Sunrise Real EstateGroup, Robhana Group and 4MInvestment Corp. has acquired a class-A officebuilding on Wilshire Boulevard from TPMC RealtyCorp. for $39 million in an off-market transaction. Thisis the second acquisition by Sunrise in that market this year as itis beginning to shift its asset base from the San Fernando Valleyto the Westside.

According to Ali Bararsani, a managing directorat Newmark Grubb Knight Frank who represented thebuyers in the transaction, the area is trending up. He explainsthat increased demand in Brentwood and West Los Angeles markets isthe catalyst for improvement in the L.A. officemarket. Office rents in the market are 7.9% higher thanthey were last year for class-A properties. NGKF also reports thatthe overall vacancy rate on the Westside is only2.4% below the vacancy rate for the whole L.A. market, which thefirm believes is the driver of the rental increases.

Located at 12301 Wilshire Blvd., the office building acquired bythe joint venture is 107,000 square feet with six stories. It wasrecently renovated to the tune of $5.5 million byGensler. The improvements included a newground-floor exterior and renovated restrooms, lobby, common areasand elevators. The property has 75% occupancy with a tenant mixthat includes Open Road Films, OpusBankand dentist and dermatologist offices. IDBBank, Barak Volner and Rachel H. Magner served as lendersand secured financing for the acquisition.