82.1 F
San Fernando
Thursday, May 30, 2024

Real Estate Quarterly

San Fernando Valley Vacancy in the Valley office market moved lower to 11 percent, compared to 11.6 percent the previous quarter. The market absorbed a healthy 76,300 square feet. Lease rates remained unchanged at $2.51. In the industrial market, vacancy registered exactly 1 percent with an impressive 611,400 square feet sold or leased during the third quarter. Industrial space became more expensive by 5 cents as rates increased to 95 cents from the previous quarter. Construction crews are building 218,300 square feet of new offices and 94,000 square feet of new industrial facilities, according to Colliers International. Main Events • Adler Realty Investments plans a $1 billion transformation of Warner Center Corporate Park at the intersection of DeSoto Street and Burbank Boulevard in Woodland Hills. The company plans to replace the 12-building development with four office buildings with 300,000 square feet apiece, plus 1,029 residential units and a 210-key hotel. • The 264-unit Carillon Apartment Homes at 6301 De Soto Ave. in Woodland Hills sold to MG Properties Group for $93 million, or $352,272 per unit. • TA Realty sold the 146,000-square-foot industrial property at 9140 Lurline Ave. in Chatsworth for $28.5 million to Exeter 18356 DE LLC. • Two medical office buildings known as Sherman Oaks Medical Center sold to C.A. Development Operations for $20 million. The buildings at 4835 and 4849 Van Nuys Blvd. have 78,000 square feet. • Rexford Industrial Realty purchased the 122,868-square-foot industrial building at 12154 Montague St. in Pacoima for $22.5 million. • The 89,473-square-foot Northridge Promenade shopping center at 19510-19530 Nordhoff St. sold to PacWest Management in an online auction for $16.3 million. • Anthem Blue Cross is relocating to 169,000 square feet in the Campus at Warner Center at 21215 Burbank Ave. in Woodland Hills. The health insurer currently occupies a nearby building at 21555 Oxnard St. in Woodland Hills. • Sun Valley-based Ratner Property Management paid $6.56 million for the 37,100-square-foot industrial building at 13020 Bradley Ave. in Sylmar with the intent to upgrade the property. • UCLA Health signed a 10-year lease for 27,215 square feet of medical office space at 15503 Ventura Blvd. in Encino. Financial terms of the lease were not disclosed. Burbank and Glendale Burbank’s vacancy held steady during the quarter at 9.9 percent as tenants took a mere 6,000 square feet off the market. Rents likewise were flat at $3.32 a square foot, the most expensive rate in the Valley region. In Glendale, vacancy ticked up to 19.9 percent – a significant move from 13.5 percent one year ago. Tenants gave back 115,700 square feet, according to Colliers International data, yet Glendale lease rates moved higher by 6 cents to $2.92. • A joint venture of Shubin Nadal Associates and Penwood Real Estate Investment Management sold the 12-building industrial park known as Burbank Backlot for nearly $85 million to BKM Capital Partners. The park has 302,869 square feet, according to CoStar Group Inc. • Burbank investment firm SBH Real Estate Group Inc. bought at 810-822 S. San Fernando Blvd. in Burbank for $5.25 million and immediately leased the 21,447-square-foot vacant retail building to Harbor Freight Tools. • Goldman Sachs & Co. paid $93.5 million for 505 N. Brand Blvd., called the HSBC Building in Glendale, which has 319,865 square feet. • Broadway Plaza at 425 W. Broadway in Glendale sold for $19.8 million to Sharp Capital. • Champion Real Estate Co. acquired two Glendale multifamily properties – the 36-unit complex at 348 W. Chevy Chase Drive and a 26-unit property at 1119-1123 E. Elk Ave. – for $14.1 million. Champion plans a $2.6 million renovation. • Two multifamily properties in Burbank sold for a combined $6.8 million to private investors. The portfolio included 16 units at 2317 N. Frederic St. and 12 units at 220 E. Valencia Ave. Conejo Valley Tenants leased 75,800 square feet during the quarter, resulting in downward pressure on vacancy, which fell to 14 percent. Rates crept up 2 cents to $2.36. In the industrial market, vacancy rose to a still tight 1.98 percent with 86,800 square feet either sold or leased. • Conrad N. Hilton Foundation paid $50 million for the headquarters of Dole Food Co. in Westlake Village. Dole will lease back part of the 168,000-square-foot campus at One Dole Drive. • North Ranch Gateway, an 86,520-square-foot shopping center in Westlake Village, sold for $35 million to Sterling Organization. The center is at 30805-30895 Thousand Oaks Blvd. • Mountaingate Plaza, a 281,240-square-foot Simi Valley shopping center at 1197-1301 E. Los Angeles Ave. and 2022-2090 First St., sold for $51.1 million to investment firm Merlone Geier Partners • Westcore Properties bought 6100 Condor Drive in Moorpark for $13.8 million. Santa Clarita Valley Office vacancy trended lower during the third quarter as tenants took 37,800 square feet off the market. The vacancy rate fell to 14.7 percent compared to 16.5 percent in the previous quarter, according to Colliers International data. Rates gained a penny to $2.55. In the industrial market, vacancy fell to 6 percent with 431,000 square feet sold or leased. • Sherman Oaks investment firm IMT Capital purchased the 510-unit apartment complex now called IMT Stevenson Ranch at 25399 The Old Road for $167 million, or $326,500 per unit. • An L.A.-based institutional investor paid $22 million to buy the 112-room La Quinta Inn & Suites Santa Clarita at 25201 The Old Road in Stevenson Ranch. • Rexford Industrial Realty bought the 70,800-square-foot industrial building at 29003 N. Avenue Sherman in Valencia for $9.5 million. Antelope Valley The industrial vacancy rate reached 2 percent during the quarter, its highest rate in more than a year. But lease rates notched higher to 59 cents a square foot compared to 55 cents last quarter, according to data from Colliers International. In the office market, the vacancy rate fell to 7.3 percent, a turnaround from 18.2 percent rate a year ago. • The 40,000-square-foot HW Hunter Ram of the West Truck Center opened at 43226 10th St. W. in Lancaster, making it the largest stand-alone Ram dealership in the country. • The 6,670-square-foot retail building at 1120 W. Avenue M4 in Palmdale sold to Neurospine Institute for $1.6 million. • Rami Darghalli Living Trust bought the two-story 11,740-square-foot office building at 1727 W. Avenue K in Lancaster for $1.7 million. • BYD Motors Inc. completed construction of a $5 million, 100,000-square-foot warehouse to support its manufacturing plant in Lancaster.

Featured Articles

Related Articles