Santa Monica developer M. David Paul & Associates Inc. has put a 1.4-million-square-foot portfolio of Burbank office buildings on the market that could fetch upwards of $600 million.
M. David Paul has put up three office properties: Media Studios North by Bob Hope Airport, Central Park at Toluca Lake and the second phase of the Pinnacle office complex in the Media District.
Two of the projects the Media Studios North and Pinnacle's phase II recently signed large leases. The properties are stabilized and fully leased.
Warner Brothers Entertainment signed a 15-year lease for the entire 230,000-square-foot Pinnacle phase II worth $100 million. And Yahoo Inc. subsidiary Overture Inc. inked a $100 million deal for two build-to-suit corporate headquarters with a cumulative 350,000 square feet at the Media Studios North.
While the marketing books haven't been sent out yet, Eastdil Secured the brokerage hired to sell the buildings has been talking to a number of potential buyers.
Eastdil Secured brokers didn't return calls seeking comment on the listing. A call to M. David Paul & Associates seeking comment on the sale also wasn't returned.
Two years ago, a partnership of M. David Paul & Associates and Stockbridge Capital Partners LLP sold the Pinnacle phase I to German fund manager RREEF Funds LLC for $145 million.
Stockbridge, a San Mateo-based real estate investment firm that recently bought the Hollywood Park racetrack in Inglewood, also has a large stake in the Pinnacle's second phase.
Even though M. David Paul & Associates is selling the bulk of its completed projects, the firm will retain two substantial development sites.
The company will still have a parcel at the Media Studios North site and a 9-acre parcel at Bob Hope Drive and W. Alameda Avenue that the company bought from General Electric Co. for $55 million.
The M. David Paul & Associates listing was first reported in trade newsletter Real Estate Alert.
One of Grubb & Ellis' top national brokers has bolted the firm for CB Richard Ellis Group Inc.
Kevin Shannon, Grubb & Ellis' top-performing broker nationally for the last three years, is moving his sales team which includes Scott Schumacher, Paul Perkins, Michael Moore, Ryan Plummer and Lorie Armendariz to CBRE's South Bay office.
The move will help CBRE bolster its sales and investment business in the face of increased competition from the merger of Eastdil and Secured Capital Corp., which is now Eastdil Secured.
For reprint and licensing requests for this article, CLICK HERE.
Stories You May Also Be Interested In
- Burbank Office Buildings Could Fetch $600 Million
- NGKF Recruits Another Veteran Broker
- CBRE Sells Site For $330M
- Burbank Land Next to NBC Studios Is Sold to Developer for Office Project
- Pinnacle Deals Buck Downward Movement in Tri-Cities Market
- Musical Chairs Mean New Brokers for Grubb, Staubach
- Major Turnaround Seen in Area, With Burbank Taking the Lead
- Brokers Hold High Ground