It is a 10-year, interest-only loan.
“There is tremendous liquidity in the market for institutional-grade real estate assets,” Patrick Brown, a principal of Sonnenblick-Eichner Co. said in a statement. “As evidenced by this financing, a 10-year interest-only structure is still readily available at very attractive terms.”
The property receiving the loan is a 78,540-square-foot building at 1888 Rosecrans Ave. It is part of Continental Park, a 2.7 million-square-foot mixed-use development that straddles the Manhattan Beach-El Segundo border. In addition to Class A office space, the site has retail and recreation tenants.
Continental Park is leased by Fisker Inc. In October, the electric vehicle-maker signed a signed a 10-year lease to make the property its global headquarters. The new office will have collaborative and flexible space designed to accommodate employees working from the office and home.
“Although the building is 100% leased to Fisker, a … company that recently went public, we were able to generate interest from multiple lenders on a 10-year interest only basis,” David Sonnenblick, a principal of Sonnenblick-Eichner Co., said in a statement.
The El Segundo office market has been one of the most in-demand areas in L.A.
The 9.6 million-square-foot market has 1.2 million square feet of space under construction, according to data from Jones Lang LaSalle Inc. The asking rent for Class A office space in the market was $4.32 a square foot in the first quarter of the year, up 28 cents in two years, according to JLL.
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