Sherman Plaza Office Complex Sold for $62 Million

The two towers comprising the Sherman Plaza in Van Nuys have sold for about $62 million, according to CBRE Group Inc. in Los Angeles. The office complex, which totals nearly 270,00 square feet at 15350 and 15400 Sherman Way, was bought by Pacific Reach Properties of Vancouver, British Columbia. The purchase is the company’s first office building in the U.S., Pacific said in a statement, although it owns and manages the National City Tower apartments in downtown Los Angeles and Blu Apartments in Beverly Hills. Majestic Asset Management Inc. of Agoura Hills was the seller. The complex was at least 93 percent occupied at the time of the current transaction. Majestic bought the buildings in 2011 for $49.5 million, according to CoStar Group Inc. To compare to other recent-area sales, 5161 Lankershim Blvd., a 197,000-square-foot office building in North Hollywood, sold for $69 million in May. Majestic also sold a 14,600-square-foot building at 4373 Park Terrace Drive within The Campus @Westlake in Westlake Village for just over $5 million to Michael Schwartz, a plastic surgeon. CBRE’s Troy Pollet and David Solomon negotiated the two sales on behalf of Majestic. On the Sherman Plaza deal, Kevin Shannon, president for the West Coast at Newmark Knight Frank, as well as Ken White, Rob Hannan and Brad Burton also represented Majestic. On the Westlake Village deal, Tony Principe of Westcord Commercial Real Estate Services in Westlake Village negotiated on behalf of Schwartz. The surgeon is planning a new facility at the location to include a new office, two surgical suites, recovery facilities and a high-end medical spa, CBRE said. Majestic bought the structure last year, according to CBRE. The company paid nearly $3 million for the building as part of a portfolio, according to CoStar. “Majestic has found value others have overlooked,” Pollet said in a statement. “The Campus @ Westlake sits in a market that has experienced nearly seven straight years of positive absorption.”