Transwestern Investment Buys 440,000 SF

Terms of the transaction were not disclosed, but the deal is likely north of $100 million because it was part of $180 million worth of transactions closed recently by Madison Partners, and one of those deals has already been reported at $35 million while the remaining deal was a 119,000-sf R&D building in Orange County.

[IMGCAP(2)]The Transwestern Investment purchase is the latest in a series of deals at the Corporate Pointe campus. Earlier this year, a vacant 239,274-sf LEED-certified office building developed by Symantec Corp. at 800 Corporate Pointe sold for $99 million. Also earlier this year, IDS Real Estate Group announced plans for a $115 million office tower on a 3.3-acre site that the Los Angeles-based developer has acquired at the Corporate Pointe office campus. The project will be a 12-story, 277,607-sf tower that will be designed to meet what IDS calls "a burgeoning demand from companies desiring an affordable Westside Los Angeles presence."

IDS cited the Lower Westside submarket surrounding Corporate Pointe as "one of the most dynamic real estate submarkets in Southern California with over $2 billion in capital committed to projects within one mile of Corporate Pointe." Among them is Westfield's one-millionsf Culver City Plaza shopping center, which is currently undergoing a $188 million expansion and renovation including 332,600 sf of new restaurants and shops.

Brokers working the Culver City office submarket describe it as a strategic and affordable Westside option. They point out that rents in the submarket typically average several dollars per sf per month less than rents at similar projects farther north.