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Thursday, Aug 11, 2022

Buyer Quickly Wraps Up Office Campus Deal

Carthay Campus, a two-building Class A office campus in Carthay Square, sold last month for $75.3 million, or about $351 a square foot.

Santa Monica real estate investment trust Douglas Emmett Inc. purchased the office properties at 6310 and 6330 San Vicente Blvd. from Cambra Realty of Beverly Hills and PRP Real Estate Management of Washington, D.C. The sale closed Oct. 16 after only seven days on the market.

The public company financed the transaction using cash and a portion of its credit line, it said in a statement.

The campus, which consists of two low-rise buildings connected by a central park, was built in two phases, in 1965 and 1970. It was renovated in 2008 while owned by Lexington Commercial Holdings of Beverly Hills. Sellers Cambra and PRP acquired the property in 2009 for $44 million, according to real estate data provider CoStar Group Inc.

The two office buildings, which together total about 215,000 square feet, were about 83 percent leased at the time of sale.

Douglas Emmett, which focuses on Class A office and multifamily properties in Los Angeles and Honolulu, now owns about 15.3 million square feet of office space in 61 properties.

Real estate investment banking company Eastdil Secured represented the seller in the deal; the buyer handled negotiations internally.

Brentwood Buy

A 68-unit apartment complex in Brentwood has sold for $25.5 million, the highest price that Westside submarket has seen in 15 years.

Santa Monica multifamily investor Jeffrey Nemoy bought the Majestic East & West Apartments, a two-building property at 11677 and 11683 Goshen Ave., from Majestic Properties of Encino.

The Majestic is just the third apartment property in Brentwood to sell for more than $25 million. In 1998, the 712-unit Barrington Plaza property sold for $100 million and a 111-unit apartment complex at 555 S. Barrington Ave. sold in 1999 for $34.1 million, according to Costar.

The Majestic, built in 1971, consists of two red-brick buildings joined by a center walkway. The east building contains 39 one-bedroom units, and the west building contains 27 one-bedroom units and two with two bedrooms.

Stephen Saltzman, executive managing director for Keller Williams Commercial, represented the buyer in the deal. He said Nemoy was attracted to the property because of its location and potential for rental growth.

“Brentwood is undergoing some major retail development along San Vicente Boulevard and Barrington Avenue, and this property is walking distance to that,” he said. “The buyer was also attracted by rents in the building, which are on average below market rates for today.”

Saltzman said that though the buildings had been well-maintained, Nemoy plans to spend about $25,000 a unit to upgrade interiors with new kitchens, bathrooms and hardwood flooring.

Tony Azzi, a broker in the West L.A. office of Marcus & Millichap, represented the seller in the deal.

Retail Sale

A 12,000-square-foot retail building along a busy stretch of San Vicente in Brentwood sold last month for about $25 million, or more than $2,084 a square foot.

Local real estate firm Goldstein Planting Investments acquired the building at 11770 San Vicente from a group of private family trusts in a sale that closed Oct. 17. The building, which has 29 parking spaces and sits on a half-acre lot, had been on the market for six months.

The property was fully leased at the time of sale.

Tim Kuruzar and Ken McLeod of CBRE Group Inc. represented the buyer in the deal. Vadim Baum of Keller Williams and Brian Moore of Sotheby’s International Realty represented the sellers.

Moving Up

The downtown L.A. office of architecture, engineering and interior design firm Leo A. Daly has named Fang Sui a project architect with a focus on health care facilities. She joined Daly from DLR Group, an architectural firm which, like Daly, is headquartered in Omaha, Neb. In her new role, Sui will support Daly’s design and renovation of the West L.A. Medical Center. … Century City developer Trammell Crow Co. has promoted Nancy Moses to vice president in the firm’s L.A. business unit. Moses will continue to focus on managing construction projects for the company. … Kearny Real Estate Co., a Century City real estate and investment management firm, has named Greg Galusha partner. He joins Kearny from L.A. boutique real estate firm Arris Investments, where he was a managing principal. … Chicago real estate investment and management company Laramar Group has named Michael Burnaz vice president of construction in its L.A. office. He joined Laramar from the Irvine office of Roy Jorgensen Associates Inc., where he worked as national director of facility management.

Staff reporter Bethany Firnhaber can be reached at bfirnhaber@labusinessjournal.com or (323) 549-5225, ext. 235.


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