Lincoln Picks Up LA Office Complex for $135M

LPC Realty Advisors I, LP, and affiliate of Dallas-based Lincoln Property Company, has purchased an office campus in West Los Angeles on behalf of a public pension fund client for a reported $135.3 million, or about $240 a square foot. The complex was sold by a joint venture between Mullen Co. of Irvine and Rockwood Capital of San Francisco, which bought the property for $136 million in 2007. Terms of the deal and representative agent information was not disclosed.

"Large office campuses are increasingly hard to come by in West LA's desirable market, so acquiring Wateridge was a unique opportunity for Lincoln, and certainly in line with our strategy,” said David Binswanger, Executive Vice President of Lincoln Property Company. "We see its potential to help meet demand for quality office space in this region.”

Lincoln's finance director, Stephen Lindgren, said he expects to draw tenants ranging from tech and media firms to law offices and accountants for the remaining space. "As Playa Vista and Corporate Pointe continue to tighten, we'll be able to offer a lower-cost alternative to be in those same markets,” he said.

Known as Wateridge, the 6-building Class A office campus in Ladera Heights sits on 21 acres at the corner of La Cienega Boulevard and Slauson Avenue with easy access to the 405 and 10 freeways. The property was originally constructed in phases beginning in 1989, with upgrades in 2010 to include additional parking, renovated common areas and improved landscaping; the property has since become a campus-style, multi-tenant facility with a diverse mix of office and retail tenants. Wateridge was approximately 70% leased at the time of sale, with major tenants including Evolve Media, Kaiser Permanente, and the Los Angeles County Department of Children and Family Services (DCFS).

For more news and information visit Blumberg Partners.

NYL Buys Culver City Property for $131M

New York Life Real Estate Investors, a division of NYL Investors LLC, a wholly-owned subsidiary of New York Life Insurance Company, announced this week that it had closed on the acquisition of a two-building office property in Culver City, California for $131.25 million, or $296 a square foot. The property was sold by Chicago's Pearlmark Real Estate Partners, who originally purchased the property for $275 per square foot in 2008 from Arden Realty Inc. Bob Safai of Madison Partners represented Pearlmark in the transaction, while New York Life represented itself.

"The 400 and 600 Corporate Pointe properties represent an excellent opportunity to invest in two high quality assets. We plan to upgrade and re-position the two buildings so that they will continue to attract top tier tenants from within the Los Angeles market," said Chris Hunt, senior director at New York Life Real Estate Investors.

"Once refreshed, these buildings will be well-positioned to take advantage of the tremendous demand from technology, media and content companies expanding in the Playa Vista area," added David Binswanger of Lincoln Property Company who will manage the properties for New York Life Investors.

Situated in the prime Lower Westside market area and constructed in 1987 and 1989, 400 and 600 Corporate Pointe consists of two separate, class A office towers totaling 443,705 rentable square feet, along with two on-site parking garages offering a total of 1,584 parking spaces. 400 and 600 Corporate Pointe have a diverse rent roll with notable national, regional and local tenancy including ADP, Sony, Schwarzkopf Professional, ITG Software, Premier Office Centers, Colonial Life, and Antioch University.

For more news and information visit Blumberg Partners.

Construction Begins on $260M Runway in Playa Vista

Construction began this week on the long-anticipated lifestyle center that will soon connect the Phase I residential community and the Campus at Playa Vista. A development team led by Lincoln Property Co., Phoenix Property Co. and Paragon Commercial Group spearhead the $260-million shopping and apartment project called Runway, which is intended to be the commercial and social heart of the planned mixed-use community that has been under construction for more than a decade on land south of Marina del Rey, once controlled by aviation mogul Howard Hughes.

"This project has been a long time coming, so we are excited to be moving to the next stage in the development process and to be that much closer to injecting more energy into this already vibrant community," said David Binswanger, Executive Vice President of Lincoln Property Company. "We want Runway to be at the forefront of everything new in the worlds of fashion, art, design and technology and to be a real center of the community where people come to shop, eat, and to just relax."

"We are pleased to see such early interest from a great group of top national retailers. The fact that we are signing best-in-class tenants in every category we are pursuing is a testament to our vision for Runway," said Mark Harrigian, Principal of Paragon Commercial Group. "When complete, Runway will be brimming with chef-driven restaurants and a unique mix of retailers offering anything from upscale couture to California lifestyle and beach-chic fashions."

Aided by a new $150 million construction loan through a syndicate of banks led by Bank of America, the newly begun project will include 221,000 square feet of retail, 420 apartments and 35,000 square feet of office space spread across three separate buildings. Whole Foods has already committed to move into a 35,755 square-foot space adjacent to McConnell Avenue, on the retail center's ground level. Down the street, the Cinemark multiplex at Runway will feature nine screens in over 46,000 square feet and the company's NextGen design concept with RealD 3D capability, self-serve concession stands and an open plaza with a cocktail lounge. Shoppers can also expect to find a CVS Pharmacy, Veggie Grill and a national bank branch at Runway.

For more news and information visit Blumberg Capital Partners.