In what is likely to be one of the region’s largest industrial transactions this year, Overton Moore Properties has sold its 1.7 million-square-foot Class A industrial portfolio to Prudential Insurance Company of America in a deal valued at nearly $170 million.

Gardena-based Overton Moore assembled the nine-building portfolio in Los Angeles and Orange counties over the past two and a half years and repositioned the properties in Buena Park, Los Angeles, Paramount and Compton prior to the sale. Prudential, based in Newark, N.J., has become an aggressive buyer of industrial properties in the Los Angeles market in recent years.

Representing the seller were Kevin Shannon, vice chairman in CB Richard Ellis Group Inc.’s South Bay office, and his team of Michael Moore, Scott Schumacher and Rob Hannan, who partnered with Darla Longo, Barbara Emmons and Steve Batcheller. Representing the buyer were Jeff Morgan and John Schumacher of CB Richard Ellis, and Jeff Chiate of Cushman & Wakefield; Inc.

“This is a solid collection of institutional quality properties,” Shannon said. The portfolio was 100 percent leased at escrow, with tenants including Service Craft and BMS Holdings.

Hillview Hollywood Tenant Mix


Silverstone Partners Inc.’s restored Hillview Hollywood apartment building, which began leasing units in June, has received a big boost from a new contract with a luxury corporate housing firm.

San Ramon-based Synergy Corporate Housing has leased 15 units in the historic 54-apartment complex, leaving the nearly 90-year-old Mediterranean-style complex at 6531 Hollywood Blvd. more than 87 percent occupied.

Synergy founding partner Henry Luebbert, whose company leases apartments at 15 Los Angeles-area locations, expects he’ll be placing entertainment industry professionals in the units, as well as out-of-town businesspeople who want to soak up some Hollywood glamour while conducting business elsewhere in the city. His clients tend to stay between one and three months.

“This is a very unique and special place,” said Luebbert, citing the building’s 24-hour concierge services plus a ground-floor gourmet market, bistro, jazz club and health club set to open in October.

Hillview Hollywood has been a closely watched project in Hollywood, not only because of its history, but also because unlike the condo conversions now commonplace in the district, the property was restored as an apartment building as closely as possible to its original appearance.

Movie moguls Jesse Lasky and Sam Goldwyn built Hillview Hollywood as the area’s first artist’s high-rise in 1917. Residents included Laurel and Hardy and Joan Blondell. Rudolf Valentino reportedly converted what had been a basement rehearsal space into a speakeasy during Prohibition.

By the time Brad Zeman and his partners at Madison, Wis.-based Silverstone heard about the property, the site was close to condemnation. The new owners, who have built 21 hotel properties, installed new walnut floors, cherry cabinets, granite countertops, as well as high-end appliances.

“We saw other developers looking to come in, knock it over and build something new here, and Hollywood doesn’t need that,” said Zeman. “Properties like these are vital part of Hollywood’s resurgence.”

Shopping Center Sells in Tough Market


Calabasas-based retail developer Westrust has sold Valencia’s 74,537-square-foot neighborhood center Tesoro Village to DSB Associates of Westlake Village in a transaction valued at $31 million.

Built in 2005, the retail center at 23850 23892 West Copper Hill Road in the upscale Tesoro del Valle residential development was 100 percent occupied at the time of the sale; tenants included Albertsons/Sav-on Drugs, Bank of America, Starbucks and The UPS Store. Richard Walter, president, and Donald MacLellan, managing director, of the Investment Advisory Group at Irvine-based Faris Lee Investments represented both the seller and the buyer in the 1031 Exchange transaction.

The deal was considered potentially challenging in part because there were no historical tenant sales for center and its anchor tenant, Albertsons/Sav-on, was on the market at the time. “To secure the sale and protect the negotiated price during a time in which interest rates were rising, we secured a non-refundable deposit from the buyer within a very short period of time,” MacLellan said. “This was especially critical with the uncertainty of the capital markets which could adversely affect the investor’s return.”

Leasing Up Figueroa at Wilshire


Trizec Properties Inc. said tenants have signed six leases totaling 100,000 square feet of office space at Figueroa at Wilshire, its 1-million-square-foot Class A downtown L.A. office tower. New tenants at the 601 South Figueroa St. complex include Luce, Forward, Hamilton & Scripps and ING Clarion Partners. Morgan Stanley, Knott & Glazier LLP, Liberty Mutual and Yomiuri New Inc. have signed lease renewals.

“Downtown Los Angeles has experienced a significant amount of leasing activity over the past few months, dropping vacancy rates, and we’re pleased that high caliber tenants in today’s market are choosing Figueroa at Wilshire,” said Anthony Manos, Southern California Region senior vice president for Chicago-based Trizec, which is being acquired by Brookfield Properties Corp. and the Blackstone Group.

Luce, a San Diego-based law firm, signed a 30,000-square-foot lease for relocation and expansion of its current L.A. office. They plan to move in December. Jim Travers and Stewart Niles of Travers Realty represented the law firm.

ING, a real estate advisory and management services firm, signed a 13,000-square-foot lease for its new Southern California headquarters and will move in October. Patrick Nally, Rick Buckley and Brad Feld of Madison Partners represented the tenant.

Carl Muhlstein, Anthony Gatti and Andrew Goodman of Cushman & Wakefield represented Trizec all but one of the deals.

Davenport Makes Purchase


Newport Beach-based Davenport Partners Inc. has purchased a three-story, 44,366-square-foot multi-tenant office building at 2601 Ocean Park Blvd. in Santa Monica for $11.4 million. Nick Brighton of Newport Beach-based Velocity Investment Sales Inc. represented the seller, Ocean Park Investment LP, an affiliate of Newport Beach-based Professional Real Estate Services Inc. The buyer represented itself.