An Encino-based real estate firm Ethan Christopher LLC and an unnamed investor has purchased Wilbur Medical Plaza in Tarzana, representing the firm’s second medical office building in the San Fernando Valley. Ethan Christopher LLC bought the 53,125-square-foot building for $14.1 million, or $266 per square foot, in a joint venture with what is being referred to as a well-known institutional medical office building investor. Ethan Christopher LLC already owned West Valley Medical Center in Encino. The building is located less than a mile from the Providence Tarzana Medical Center and its tenants include physicians who have practice privileges at the hospital. The facility is home to a surgery center, an imaging center, a pharmacy and other medical-related businesses. The transaction closed Jan. 25 but was not announced until recently. Ethan Christopher LLC, which represented itself in the deal, bought the building from West Hollywood-based Atlantic Pearl Investments Inc. The seller was represented by Evan Kovac and Nic Lyon from Marcus & Millichap Real Estate Investment Services’ San Diego office. The medical plaza was marketed for about three months to a select group of about 30 medical office REITs, pension funds, private equity and institutional medical office investors. The seller received about a dozen offers, said Lyon. Lyon said it is likely Ethan Christopher LLC was chosen because of its local market knowledge, strength as a buyer and expertise in the product type. The company owns medical office buildings throughout Southern California, as well as in Arizona and Texas. “We’d expect the property to continue running as kind of the premiere off-campus medical office building in that market,” Lyon said, adding that tenants have generally been drawn to the site because it is a nicer facility and offers a slightly discounted rent in comparison to on-campus facilities. The site, which is 86 percent occupied with 26 tenants, is also attractive because of its location right next to the 101 freeway and because of its connection with the Providence Health & Services system, Lyon said. Ethan Christopher noted the building’s location as reason for the purchase. “We think it’s a well-positioned medical office building,” said Gary Grabel, managing director of the real estate firm. “It adds to our presence in the San Fernando Valley. … We’re looking for other medical office and retail acquisitions – particularly in the Valley but we’ll consider anything in Southern California or Arizona.” Grabel said the new ownership has already started making improvements. “We’re replacing all the interior elevators and bringing them up to current standards, and we’re going to have an interior designer help do some interior work and upgrade the common areas,” he said. The company is also evaluating whether there is a need for exterior upgrades. Wilbur Medical Plaza, built in 1986, is located on a 30,218-square-foot corner parcel of land at 5620 Wilbur Ave. The location features four levels of subterranean parking. Burbank Deals Encino-based illi Commercial Real Estate facilitated a five-year lease with ASA Wireless for about 975 square feet of retail space in Burbank on March 1. ASA Wireless is a multi-store Metro PCS-authorized dealer. The total lease consideration for the space located in Cornell Plaza was in excess of $100,000. Illi Commercial took over representation for the vacancy about three and a half weeks ago. The space had been vacant for about eight months, said Todd Nathanson, president of illi Commercial. “We had instant interest from several (parties),” Nathanson said. “This was a retailer that was expanding throughout Southern California, which was the most intriguing out of all the interests.” ASA Wireless joined six other tenants in the mid-block strip mall. Nathanson, Greg Offsay and Sevada Hemelians represented both the property owner and the tenant in the transaction. Grubb & Ellis Company recently brokered a subleasing deal for 25,331 square feet of office space in Burbank. AMFM Operating Inc. subleased the space, located at 3400 W. Olive Ave., to R-T Specialty LLC, an independent wholesale insurance brokerage firm. Clayton Hovivian and Chon Kantikovit – both members of the company’s Tenant Advisory Group – represented AMFM Operating Inc. in the deal. Dan Maslauski and Tom McDonald of Jones Lang LaSalle represented R-T Specialty LLC, which signed a five-year lease. Industrial Property Sale Equipment provider New Aspect Design expanded its headquarters in North Hollywood by purchasing nearly 5,000 square feet of industrial space. The company bought the industrial warehouse located at 7419 Bellaire Avenue for about $700,000, or at about $140 per square foot. The purchased site is next door to the location it already occupied. The company plans to occupy about half of the site and lease the other half to a tenant, said Roger Abuata, the SoCal Realty & Mortgage real estate broker who represented New Aspect Design. The seller, Torrance-based Farmer Bros. Co., was represented by Illinois-based real estate brokerage firm Alter 360. Excalibur Commercial Advisors served as the financial facilitators for New Aspect Design.
