ING Clarion has snapped up the 216,600-square-foot Douglas Technology Centre in El Segundo for about $40 million.
The sellers, Pacific Coast Capital Partners and Overton Moore Properties, joined forces in 2003 to develop the building, located at 445-455 North Douglas St. Part of a 90-acre master-planned office park, the center is 100 percent leased to Northrop Grumman.
The sale of the Douglas Technology Centre “further demonstrates the capital market’s belief in the strong long-term fundamentals of the El Segundo market,” said CB Richard Ellis Group Inc.’s Kevin Shannon, who represented the sellers in the transaction.
The Los Angeles-based firm’s team on the transaction included Scott Schumacher, Paul Perkins, Michael Moore and Rob Hannan.
Waiting for the Train
After three years of negotiations with Sears Roebuck and Co., the Santa Monica City Council has authorized the $35 million purchase of the Sears Automotive Center site at Fourth Street and Colorado Avenue.
Long a mecca for Westsiders seeking to replace car batteries, the 104,000-square-foot site is being considered for conversion into a rail station that would serve as the western terminus of the planned second phase of the Exposition Light Rail line. Parking, commercial and affordable housing projects are also being considered for the site.
But with construction of that phase of the rail line at least five years off, the city has agreed to purchase the site as is. According to a staff report, Sears would lease back the property from the city for three years, with two automatic renewals of one year each, subject to termination by either party with 90 days notice. Sears also would pay for any cleanup work that needs to be done on the site.
The deal leaves untouched the main Sears Roebuck and Co. store across Fourth Street. That store, designed by architect Roland Crawford and completed in 1945, is now being considered for historic landmark status.
Glendale Center Refinancing
Los Angeles-based real estate investment trust Maguire Properties Inc. said it has completed a $125 million refinancing for Glendale Center provided by Nomura. The net proceeds of the 10-year, fixed-rate, interest-only financing at a rate of 5.83 percent, were used to pay down the company’s term loan to a present balance of $332 million.
Glendale Center is a 14-story office building located at 611 North Brand Blvd. in Glendale. The 383,000-square-foot property is 100-percent leased. The company also owns an adjacent two-acre parcel that can support development of up to 400,000 square-feet of space.
Bigger Game
GSN, a cable television network dedicated to game shows and interactive game playing, has signed a new 40,230-square-foot lease for the first, third and fourth floors of Equity Office’s Arboretum Courtyard in Santa Monica.
The 140,000-square-foot Arboretum Courtyard, built in 1999 in the Santa Barbara Classicist architectural style, is 100-percent leased. GSN, which has been leasing a smaller space in the building for five years, will be subleasing the space until January, then transition to a direct lease.
“The creative synergy that pulses through Santa Monica differentiates it from the surrounding areas and the entertainment industry has clearly taken a liking to this distinct aspect,” said Bert Dezzutti, senior vice president of Equity Office’s Los Angeles region.
Equity Office owns, operates and manages seven properties and more than 2.6 million square feet of Class A office space in Santa Monica. Gail Goldstein represented Equity Office in-house. GSN was represented by John Bertram and Luke Palmo of Coldwell Banker Commercial Westmac.
Office Project Honored
The 9900 Wilshire project was recently recognized by the Westside Urban Forum with an award for urban solutions.
New Pacific Realty is proposing to develop the parcel, located at the western entrance to Beverly Hills on the eight-acre site of the former Robinsons-May, as an environmentally sensitive, luxury condominium project.
When completed, 9900 Wilshire will be the first of its kind in the West to achieve the U.S. Green Building Council’s LEED Gold rating. It will use 25 percent less energy, 50 percent less water and emit fewer greenhouse gases than comparable residential buildings.
The project is being designed by Richard Meier, who designed the Getty Center and won the Pritzker architecture prize.
Heading to the Top
Klee Tuchin Bongdanoff & Stern, a business law firm, has signed a 20,200-square-foot lease for the top floor of Equity Office’s SunAmerica Center at 1999 Avenue of the Stars. The firm will be relocating in December from Fox Plaza.
Bert Dezzutti, senior vice president of Equity Office’s Los Angeles region, said the highest demand in Century City comes from legal and financial service firms. “The area is one of the last places on the Westside where sizable blocks of space are available for companies looking to expand,” he said.
SunAmerica Center is a 39-story building with more than 780,000 square feet of Class A office space. Its occupancy rate has steadily risen over the last two years to a current 90 percent.
Klee Tuchin Bogdanoff & Stern was represented by Hunt Barnett of Madison Partners. Equity Office was represented in-house by David Hitzel, director of leasing.
