Nearly $114M Buys Long Beach Tower

The purchase of the office tower adds a 12th property to the portfolio of G REIT, which derives its name from the REIT's preference for buildings in which a significant portion of the tenants are either government agencies or vendors and suppliers to government entities. G REIT acquires properties separately from Triple Net.

The seller of One World Trade Center was represented by David Doupe and Larry Krasner of the Los Angeles office of CB Richard Ellis, while G REIT was represented by Steve Corea and Alex Vellandi of Triple Net Realty. Financing was arranged through HSH Nordbank by Mark Strauss and Adam Levinson of Cohen Financial.

Built in 1989, One World Trade Center is a class A, 27-story office tower Downtown, adjacent to the Hilton Hotel and near the Port of Long Beach. Among its tenants are the US Customs Service, the Federal Bureau of Investigation and the Department of Defense. Triple Net officials have explained in interviews with GlobeSt.com that the concept behind G REIT is that such government-oriented tenants provide a stable source of rent and, when such tenants grow, they are likely to expand within the same buildings they already occupy. Triple Net Properties acquires its assets on a tenant-in-common basis for 1031 Exchange clients, typically buying a property through a limited liability company that is formed for the purchase. G REIT, by contrast, buys its properties as a corporate entity.

Triple Net Properties manages a growing portfolio of more than 13 million sf of commercial properties with a market value of $1.3 billion. It is buying and selling properties throughout the Western US, Florida, Illinois, Nevada, Texas and the Hawaiian Islands.