CBRE Global Investors Buys Univision Office Building FOR $102M

CBRE Global Investors' U.S. Managed Accounts Group announced that it has purchased the Univision Building in Los Angeles, a 174,084 square foot Class A office building that serves a sUnivision's West Coast headquarters, on behalf of a separate account client. According to a Biznow report, the building was sold by Univision TV Group for $102 million, or about $586 per square foot; Univision purchased it in 2004 for $52.5 million. The sale closed April 1, the same day Univision signed a lease-back agreement with CBREI that ensures it will remain at the building until 2026. Ryan Gallagher and Andrew Harper of HFF represented Univision in the deal; CBRE's representation was not disclosed.

Originally built in 2000, the office building at 5999 Center Drive West is part of the mixed-use Howard Hughes Center complex in a submarket which is the hub for Los Angeles' growing technology market, and one of the strongest office markets in the Los Angeles metro. The property was 61.5% leased at the time of sale; CBRE revealed a capital improvement plan for the building to include an additional $2 million renovating the lobby with a tenant lounge and event area, along with a work/play outdoor space to appeal to creative tenants.

"Playa Vista has emerged as the dynamic hub of creative and tech tenancy in SoCal and is nearly fully leased," said Gardner Ellner, Acquisitions Director, CBRE Global Investors U.S. Managed Accounts Group. "The Univision Building is the next project in the path of growth for creative tenants looking to access the amenity base of Playa Vista and the young, creative workforce that resides there. It is well-positioned to appeal to those tenants by providing an engaging environment to work, direct access to the freeway and proximity to a wealth of amenities."

For more news and information visit Blumberg Partners.

CBRE Picks Up Pasadena Towers for $257M

A fund advised by CBRE Global Investors has purchased the Pasadena Towers office complex in the South Lake Retail District of Pasadena, California for roughly $257 million. Terms of the deal were not disclosed, but a CBRE press release indicated that Michael Ziestman and Patrick Inglis of JLL represented the seller, Beacon Capital Partners, in the transaction. Leasing brokers Shaun Stiles, Katie Cowan and Joshua Wrobel of JLL also advised Beacon in the sale. CBRE purchased the property with capital in its fund and debt.

“The Los Angeles economy is well-positioned to benefit from the continued expansion of the technology and media sector, and the Pasadena submarket has proven itself to recover faster than the MSA and the nation as a whole," said Kim Hourihan, Portfolio Manager, CBRE Global Investors. “As the home of institutions like CalTech and NASA's Jet Propulsion Laboratory, Pasadena offers a highly educated workforce. With the submarket emerging as 'LA's Other Tech Hub,' Pasadena Towers will be able to attract both traditional and creative tenants."

Located at 800 E. Colorado Blvd. and 55 S. Lake Ave., Pasadena Towers includes two nine-story towers with 477,051 square feet of space, 5% of which are retail, with a 1,238-stall parking structure. Beacon acquired the complex in 2012 as part of a $1.6 billion portfolio, at which time Pasadena Tower was 55% leased, then invested in an $18 million capital improvement plan.

The property was 93% leased upon CBRE's purchase, with major tenants including Bank of America, the financial firm First Quadrant and Hybrid Kinetic Motors Corporation. With well-capitalized new ownership from CBRE Global Investors, Pasadena Towers will soon feature exclusive 5-Star Worldwide upgrades that cultivate creativity, drive productivity and foster workplace wellness.

For more news and information visit Blumberg Partners.

Korea Post Buys Midtown I & II in Atlanta

CBRE Global Investors' U.S. Managed Accounts Group announced that it has acquired Midtown I & II in Midtown Atlanta on behalf of Korea Post, the national postal service of South Korea. Terms of the deal were not disclosed, but the property did previously sell for $225 million in 2013 when Cole Real Estate Investments teamed with Macfarlan Capital Partners to acquire the complex from KanAm Grundinvest Fonds (who had purchased the complex at the market's peak in 2007 for $242 million).

"Our investors are increasingly looking for global diversification," said Peter DiCorpo, President, CBRE Global Investors' U.S. Managed Accounts Group. "We can offer the on-the-ground experts in their target investment markets as well as in their home country to provide a seamless solution for migrating capital across borders."

Midtown I & II is a 794,110 square foot, Class A, state-of-the-art corporate campus situated in the heart of the Midtown submarket of Atlanta, across I-85 from the campus of University of Georgia Tech. The 16-story and 8-story buildings are 100% leased to AT&T and were originally constructed at build-to-suits for Southwestern Bell in 2001 and 2002. The property also includes a nine-story 2,459-space parking garage, which is also home to 13,257 square feet of ground floor retail space, as well as AT&T's 5,000 square foot Drive Studio. The Drive Studio is a platform which allows automakers to add and test connected services, such as in-car entertainment systems, over-the-air diagnostic systems, and other innovative cellular-enabled features.

For more news and information visit Blumberg Partners.

Buchanan Street Buys Tollway Plaza

Newport Beach-based Buchanan Street Partners announced that it had purchased Tollway Plaza, a two-building, eight-story office complex in Dallas, Texas, for an undisclosed amount. Buchanan was self-represented in the deal, while HFF's Dallas investment sales team represented the seller, CBRE Global Investors. The buildings were expected to fetch almost $230 per square foot; CBRE originally acquired the property in 2012 from Equity Office Properties Trust, price also undisclosed.

"We are actively buying all types of office product in the Dallas region," said Matt Haugen, assistant vice president at Buchanan Street Partners, in a press release. "Given the sustainable job growth in the region and lack of available development pads, we anticipate an increase in rents in the area over the next few years as vacancies tighten."

Located at 15950 and 16000 North Dallas Parkway, Tollway Plaza consists of two, eight-story buildings totaling 370,073 square feet. Centrally located in the Dallas North Tollway submarket,Tollway Plaza was 95% leased at the time of sale, with major tenants including Travis Wolff, LLP, Axxess Technology Solutions, HQ Global and Stewart Title.

For more news and information visit Blumberg Partners.

Dallas' Galleria Towers Sold to CBRE

California-based Cannon Commercial Inc. has sold the three-building Galleria Towers office complex in Dallas, Texas to CBRE Strategic Partners U.S. Value 7, a fund managed by Los Angeles-based CBRE Global Investors. The sale is likely to be the largest in North Texas this year, with a sale price expected to total more than $300 million, according to a Dallas Morning News report today. "This will likely be the largest office sale in D-FW this year," said CBRE's Gary Carr who brokered the transaction along with John Alvarado, Eric Mackey and Robert Hill. "Galleria Towers is one of the most recognizable office projects in the Southwest."

The sale price would closely mirror the $300 million Cannon Commercial paid for the property in May 2008 when it was reportedly fully occupied. Prior to that, Fortis bought the Galleria Towers for $285 million from The Blackstone Group in November 2006, which acquired them from Trizec Properties. Terms of this week's deal have not been disclosed.

"This is a great asset in a great location and it has been like that for a long time," added Walter Bialas, vice president and market research director for JLL's Dallas office. "With the LBJ Expressway construction completing, I think there is a good upside for those assets. They have easy access in a good location with good visibility."

Located at 13355, 13455 and 13155 Noel Road adjacent to the Galleria Mall and built in the 1980s and early 1990s, the 1.4 million square foot Class A office complex was 70% leased at the time of sale, with one large tenant is exiting soon. Colliers International, the leasing broker for the Galleria Towers, has been working with the landlord on plans to re-lease the FedEx Office space, which is expected to leave eight floors totaling about 200,000 square feet at Three Galleria Tower at 13155 Noel Road upon completion of its new headquarters campus in West Plano within the $2 billion, 240-acre Legacy West development. CBRE Global Investors plans to invest heavily in the property adding its signature 5-Star Worldwide service and amenity program, including conference facilities, a fitness center, and enhanced on-site tenant amenities, in each building.

For more news and information visit Blumberg Partners.

CBRE Buys TH Real Estate Portfolio for €346M

CBRE Global Investors announced the purchase of a portfolio of seven European logistics properties from TH Real Estate, the London based investment management company, for €346 million, or $385.4 million US. The portfolio was sold by Warburg-HIH Invest and TIAA-CREF, which was previously owned by the Warburg-Henderson Pan-Europa Fonds 1 and 3 and TIAA-CREF, according to an IPE report. CBRE Global Investment Partners said it would retain TH Real Estate to manage the portfolio.

Jeremy Plummer, Head of CBRE Global Investment Partners said of the deal: "Logistics is a preferred sector of GIP and finding the right assets and operating partner is key in our search. One of the key attractions of this pan European logistics portfolio was the pre-specification of assets enabling us to underwrite not only our operating partner but also the underlying real estate. We believe the portfolio will deliver an attractive income return for our investors, while our operating partner can also successfully grow net operating income."

Mike Sales, MD, Europe, TH Real Estate, added: "Given the weight of capital in the market seeking exposure to the logistics sector, combining assets to facilitate a portfolio disposal made good commercial sense for both clients with increased scale attracting greater liquidity and a pricing premium. We were successfully able to guide both clients through this process in order to secure an optimal exit solution."

For more news and information visit Blumberg Partners.

SunTrust Building at 777 Brickell Sold for $140M

A private South American group picked up the SunTrust Bank building at 777 Brickell Avenue in Miami, Florida this month for $140 million, or $238 per square foot. In a deal brokered by CBRE, CBRE represented the seller, Brickell Office Plaza (whose managing member is Peter Dicorpo of CBRE Global Investors), in the deal. Terms or the name of the buyer were not disclosed, according to a South Florida Business Journal article.

"Miami continues to draw significant capital from intelligent, well-informed investors," said CBRE Vice Chairman Christian Lee in a statement. "777 Brickell, one of only four waterfront sites on Brickell Avenue, is just the latest example of that."

"The unprecedented growth and transformation of the CBD along with the world-class location of the property provide a tremendous upside opportunity for new ownership through the operation of the institutional-quality office building as well as potential future redevelopment," added CBRE Vice President Amy Julian.

Built in 1980, the 13-story office tower with 288,485 square feet and an adjacent 5-story parking structure previously sold for $44.5 million, when Brickell Office Plaza purchased it in 2002, according to Miami-Dade County property records. the building was 93% leased at the time of sale with major tenants including CBRE, SunTrust, UBS, Banco de Brasil, Truluck's, BlackRock and International Paper.

For more news and information visit Blumberg Capital Partners.

SF's 235 Pine Trades Hands

235 Pine Street in San Francisco traded hands this month as a fund managed by CBRE Global Investors purchased the office property for a reported $88.8 million, or $591 per square foot, according to The Registry. Terms of the deal were not disclosed. Built in 1990, the property features 207,500 square feet on 25 stories, is located in the heart of San Francisco's Financial District between California and Market streets near amenities including restaurants, gyms and public transportation.

235 Pine is currently home to the soon-to-be-vacating GSA Bankruptcy Court, the buyer confirmed. Phil Hench, principal at CBRE Global Investors, said the company saw the Pine Street building as a valuable asset not only because of its proximity to BART, but also because the bankruptcy court will soon give up its more than 50,000 square feet on the top six floors.

"The traditional (finance, insurance and real estate)-type users that went through a difficult period of downsizing – and since then have been status quo and haven't added jobs or space – are in fact expected to recover and accelerate," he said. "We'll see a lot of activity from that sector, and at the same time more and more of these tech companies are not afraid to go into traditional vertical highrise office buildings."

For more news and information visit Blumberg Capital Partners.

KBS Purchasing North Dallas Office Buildings for $269M

KBS Realty Advisors confirmed this week that it is purchasing two choice North Dallas office projects containing more than 700,000 square feet of office space. According to a Dallas Business Journal article, KBS Real Estate Investment Trust III Inc. plans to buy the portfolio for about $268.8 million, including two Preston Center office properties in Dallas. Through wholly-owned subsidiaries, KBS plans to purchase Preston Commons, a three-building office property from 8111-8117 Preston Road, totaling 427,799 square feet of office space on about 6.3 acres of land in Preston Center. KBS also plans to buy Sterling Plaza, a 313,609-square-foot office property at 5949 Sherry Lane in Preston Center.

A KBS representative told The Dallas Morning News that it will purchase the buildings “with proceeds from a mortgage loan from an unaffiliated lender and proceeds from its ongoing initial public offering. The company is currently negotiating the terms of the mortgage loan.” The buildings are part of a big nationwide property package that was recently put up for sale by CBRE Global Investors.

For more news and information visit Blumberg Capital Partners.