Water Garden II, on Colorado Avenue and Cloverfield Boulevard, was sold by a group that includes LA-based developer J.H. Snyder Co. and an investment fund managed by Colony Capital. GlobeSt.com reported that a sale to the J.P. Morgan Chase-advised group appeared near one month ago.
Buying Water Garden II seems to be a good move for the J.P. Morgan Chase group, brokers say, in part because it places both phases of the giant complex under the same ownership. Unifying ownership should cut operational costs and perhaps even build new marketing synergies because J.P. Morgan Chase can now more easily accommodate tenants with changing space needs by moving them from one phase to the other, instead of losing them to a competing project.
J.H. Snyder hired the local office of Eastdil Realty to explore several options for the building last year, including a possible sale. J.H. Snyder partner Cliff Goldstein says that several potential buyers showed an interest in purchasing the 95%-occupied complex.
Though Goldstein won't comment on the price that was paid for the building, local brokers say it fetched a bit over $240 million.
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