INGLEWOOD, CA-The Madison Square Garden Co. has acquired the Forum sports arena here for $23.5 million from Forum Enterprises, Inc., an entity owned by Faithful Central Bible Church. John Cushman and Bruce Mosier at Cushman & Wakefield, Inc. served as real estate advisors to MSG, while the seller’s team was led by Marc Little of Forum Enterprises. MSG will give the former home of the Los Angeles Lakers and Kings a $50-million facelift, the plans of which will be revealed in the fall. The new owner has made meaningful commitments to Inglewood as part of its agreement with the City, including a minimum ticket-sales guarantee each performance year to help ensure the project’s significant economic impacts; a workforce outreach coordination program to promote local hiring opportunities and minority business enterprise/disadvantaged business enterprise participation in the project, including job fairs to promote those opportunities; rent-free use of the Forum by the City for charitable causes; the rent-free use of the Forum parking lot on an ongoing basis for a farmers’ market; and support of charitable endeavors of importance to the community. Industry sources say the City will give MSG an $18-million commercial rehabilitation loan in exchange for the improvements.
SAN DIEGO-BioMed Realty Trust Inc. has purchased two parcels of land totaling approximately 15.7 gross acres for approximately $20 million. BioMed entered into a long-term ground lease for the site, located at the intersection of Camino Santa Fe and Summers Ridge Rd. in the Sorrento Mesa submarket here, with Advanced BioHealing, Inc., a regenerative medicine company and a subsidiary of Shire, which intends to construct office, laboratory, warehouse and manufacturing facilities totaling in excess of 150,000 square feet on the site beginning later this year. Louay Alsadek and Evan August of CBRE, with Doug Lozier of Studley, represented the seller.
VISALIA, CA-TNP Strategic Retail Trust Inc., a public non-traded REIT that invests in grocery and drug-store anchored, multi-tenant necessity retail properties and other real estate-related assets, has acquired Visalia Marketplace, a 200,794-square-foot retail center, for a price the firm did not disclose to GlobeSt.com. The property was recently renovated in 2008. The center is 92% leased and anchored by Save Mart Supermarkets and Kmart. Other national and regional tenants include Starbucks, Brandman University and Great Clips. The anchor tenants have long-term leases, with Save Mart Supermarket’s lease expiration at the end of 2028 and Kmart’s lease expiration in 2024.
WEST SACRAMENTO, CA-Ridge Capital Inc. has purchased roughly 290 developable acres in Southport Business Park. Terms of the transaction, which closed June 21, were not disclosed. Matt Lofrano, Bill Niethammer, Mark Demetre and Mike Zimmerman of Jones Lang LaSalle’s Sacramento office represented Ridge Capital in the purchase and will also advise the company in its future sale and development of the land. Ridge, represented by investment managers Carlo Mormorunni and Mike Diepenbrock, plans to make available for sale entitled parcels from 3 acres to 116 acres. Ridge will also entertain build-to- suit development. Sites can accommodate buildings from 20,000 square feet to 2 million square feet.
TUSTIN, CA-The Tustin City Council has voted to enter an exclusive agreement to negotiate with the Irvine Co. to develop two parcels at Tustin Legacy. The first two parcels designated for development are Parcels 1A North and 2A. Located between the future Tustin Ranch Rd. and Park Ave., Parcel 1A North is a vacant, City-owned property of almost 13 acres. Developer St. Anton Partners LLC is partnering with the Irvine Co. to develop workforce apartment housing as well as a 4.5 acre park. Parcel 2A, located at the southwest intersection of Tustin Ranch Rd. and Warner Ave., is also a vacant, City-owned, property of approximately 20 acres that will include 533 apartment homes. As part of the agreement, the Irvine Co. will be contributing to the building and improvement of roads and utilities at Tustin Legacy, including parts of Legacy Road, Carnegie Avenue, Armstong Avenue, Barranca Parkway, Warner Avenue, and the Barranca Parkway Channel. Construction on the developments will occur to coincide with the completion of Tustin Ranch Rd., and could begin in early 2013.
SAN DIEGO-BCL Inc., a real estate investment firm that re-entered downtown San Diego late last year with its acquisition of 450 B Tower in the heart of the financial district, is planning extensive, class A-level interior renovations at the property. Renovations will include extending the upgraded lobby finishes to upper-floor corridors and restrooms and creating a new, state-of-the-art conference facility. Work will also include updating standard tenant finishes and elevating the building operations to a class-A level of service. Jones Lang LaSalle’s EVPs Richard Gonor and Bess Wakeman represent BCL in leasing the tower which is 85%.
PLEASANTON, CA-Building construction has begun on Phase I of Stoneridge Creek, the new continuing-care retirement community here. The first phase of the new community, located on 46 acres at 3300 Stoneridge Creek Way off Stoneridge Drive, includes independent living residences, community clubhouse and recreational buildings. In addition, a new model home in the retirement community’s information center at 5698 Stoneridge Dr. is now open for tours. After adding more than 100 more new homes to the first phase, the community is more than 60% reserved, and owner/operator Continuing Life Communities says construction is on track for completion during the second half of 2013. In addition, Stoneridge Creek will offer a state-of-the-art health center located adjacent to the main campus. The health center, with 68 assisting living apartments and a dedicated memory support area, will also include 73 skilled nursing beds.
VANCOUVER, WA- Johnson Capital has arranged $20.15 million in acquisition financing for the owners of the Riverstone Marketplace here. The new 10-year CMBS loan was provided by a life-insurance company, and it has a fixed interest rate of below 5% for the entire term.
LOS ANGELES-Marcus & Millichap Capital Corp. has arranged refinancing in the amount of $7.4 million for a 21-unit garden apartment building in the Toluca Lake district here. Dan Litman, a vice president capital markets in MMCC’s West Los Angeles office, arranged the loan, which was structured with a 10-year term and amortizes over 30 years with an interest rate of 3.83% fixed for five years; the LTV is 75%.
TEMECULA, CA-Quantum Capital Partners has secured a $5.46 million loan in the acquisition of Temecula Corporate Place Center, a distressed asset and one of Temecula’s premier, multi-tenant office buildings. The 10-year loan is fixed for the first five years at a sub-5% interest rate. The asset was purchased at a foreclosure auction for $6.8 million, and upon stabilization, at a 9% capitalization rate, the property has an estimated value of $8.5 million. The loan proceeds included $1 million for tenant improvements and renovations. At the time of acquisition, the property was 60% occupied with tenants including Merrill Lynch and other financial tenants, as well as numerous healthcare professionals.
SANTA CLARITA, CA-The County of Los Angeles has renewed its lease for 36,087 square feet of office space in the Valencia Corporate Plaza here with Parallel Capital Partners Inc. The space is occupied by the County’s Department of Children & Family Services (DCFS). The new lease term is for 60 months and includes office space in two of the three buildings in the Plaza project, 28470 and 28490 Avenue Stanford. The County represented itself in the transaction and Parallel Capital Partners represented itself.
NAPA, CA-Cushman & Wakefield has been retained by the Copia Liquidation Trust as the exclusive leasing agent for the former Copia complex, located at 500 First St. downtown. The Napa-based Cushman & Wakefield team of Glen Dowling, Matt Bracco and Chris Neeb will leading the leasing effort. Each has extensive experience leasing larger office and institutional spaces in the San Francisco North and East Bay areas. Blue Hill Restaurant Consulting of New York has also been retained to recruit suitable restaurant/retail user(s).
IRVINE, CA-A group of financial executives has formed 5 Arches LLC, a real estate enterprise whose founders include CEO Shawn Miller, CIO Steven Davis, chief technology officer Tim Gannaway and chief legal officer Gene Clark. All were managers and operating founders at Arch Bay Capital LLC and left the firm in May to pursue new real estate and mortgage finance opportunities. As part of their transition, Miller, Davis and their 5 Arches colleagues will become owners of a subsidiary of Arch Bay formerly utilized as a mortgage origination business. Arch Bay, which is backed by York Capital Management, will continue to focus on working out its pools of distressed mortgages, supported by Arch Bay’s other senior managers.
NEWPORT BEACH, CA– Real estate industry veteran Harold Hofer, backed by former CBRE CEO Ray Wirta, has launched NEXREGEN Real Estate Investment Trust I. NEXREGEN provides a proprietary web-based system through which investors can purchase small interests in commercial real estate properties in the REIT format. “We want to reach folks that are internet savvy, and that routinely engage in commerce over the Internet,” says Hofer. NEXREGEN intends to attract qualified potential investors to its website, www.NEXREGEN.com, utilizing print and on-line advertising, newspaper and magazine articles, blogs, and search engine optimization.
NEWPORT BEACH, CA-CBRE Group, Inc.’s capital markets group has added three senior credit professionals to its Fannie Mae DUS lending unit, CBRE Multifamily Capital, establishing a West Coast credit team here. The team will be led by Jeff McVehil as West Coast chief underwriter, who was previously the chief underwriter for Berkley Point Capital (formerly known as Deutsche Bank Berkshire Mortgage). Two senior underwriters join Jeff as part of the new West Coast team: Victoria Khoury and Kellie Kaiser each have approximately 10 years of experience underwriting Fannie Mae and Freddie Mac transactions. Victoria and Kellie also joined CBRE from Berkley Point.