X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

GLENDALE, CA-Cambra Realty of Los Angeles and the New York City-based Angelo Gordon & Co. have acquired the 122,358-sf Glendale Financial Square for nearly $32.7 million. The buyers acquired the property, which is at 225 W. Broadway, from Liberty Mutual Plaza IV of New York City.

Completed in 1981 and renovated in 2000, the class A office property comprises a six-story office tower and an attached two-story annex building over a single-level subterranean garage, situated on 1.7 acres. The project is 61% leased to tenants that include the federal government, Household Finance and HealthCare Partners.

Michael Schlesinger, Cambra Realty principal, says that while Glendale Financial Square sold at a low cap rate on existing rents, the property will provide the new owners with the near-term stability of a high-quality, diversified tenant base as well as a significant opportunity to enhance cash flow through the lease-up of available space.

In addition to the more than 30% of rentable square footage that is vacant, he says, there is also upside in the roll-over of leases that are now at below-market rents.

Schlesinger tells GlobeSt.com that Cambra was one of a number of bidders on the property, including institutional investors. The business plan for the partnership of Cambra and Angelo Gordon calls for holding the property for about seven to 10 years, he says, noting that Cambra worked with the local office of Angelo Gordon on the deal.

Schlesinger says that the new owners also were attracted by the the property’s location adjacent to the 1.3-million-sf Glendale Galleria mall and the $429-million Americana at Brand retail and residential development. Both the buyer and the seller were represented by Lynwood Fields of the Brentwood office of Madison Partners.

Bob Safai at Madison Partners also represented the buyer in the placement of floating rate debt with Capmark Finance Inc. The new owners have also tapped Madison partners as the leasing agent for the property.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.