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LOS ANGELES-Dr. David Lee’s locally based Jamison Properties has closed on one of its biggest deals yet with the 698,000-sf acquisition of the three-building class B Airport Center complex near Los Angeles International Airport for $70 million. Jamison’s buy is a leasehold interest in the complex, which is on ground leases with approximately 57 years remaining, according to Grubb & Ellis brokers who arranged the deal.Kevin Shannon, Scott Schumacher, Michael Moore and Paul Perkins of the South Bay office of Grubb & Ellis in Torrance brokered the transaction. The Grubb & Ellis team represented both Jamison and the seller, a venture of Jupiter Realty and GE Credit Equities.The Airport Center complex consists of three buildings known as Airport Center I, II and III at 6151 and 5959 W. Century Blvd. and 9841 S. Airport Blvd. The project, which sits on six ground leases totaling 9.65 acres, is 69% leased and includes two parking structures totaling 4,104 spaces.The transaction represents approximately 18% of the 3.9-million-sf Los Angeles Airport office submarket inventory and accounts for about 19% of LAX’s off-airport parking spaces. The Grubb & Ellis brokers say that Jamison stands to capitalize on growth in parking revenue, which has increased by 18.8% on average at the project over the past three years and accounts for 30% of the revenue of Airport Center.Besides the potential for leasing the office space, the project holds potential for more growth in parking revenue with the planned modernization of the airport, the brokers add. They note that the deal included a development pad of .67 acres fronting Century Boulevard.Although the vacancy rate in the LAX submarket has historically been high and will continue to be higher than other submarkets, Grubb & Ellis sees improvement in the market generally and considers the Airport Center project to have one of the best locations in the submarket. The vacancy rate of 30% in the submarket includes a considerable amount of obsolete space in class C buildings that account for about 40% of the inventory.

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